Facility services for leased buildings

New lease service-based fee (for offices and warehouses)

Leasing and design services for new leases are funded through a service-based fee based on the square footage of the space requested. The fee is charged at either the current hourly rate of $83.25 or the commission rate of 2.5 percent of the gross lease rental excluding tenant improvement costs.

Fees for laboratories and schools are negotiated on a case-by-case basis, but not at rates less than fees charged for offices and warehouses.

The fee schedule is:

Size Service-based fee
1 - 5,000 square feet Hourly
5,001 - 10,000 square feet Commission. At the discretion of the Real Estate Group Manager, an hourly fee may be charged in lieu of the commission rate
Over 10,000 square feet Commission at 2.5 percent of gross rent
Over 5 years Commission on leases over five years are charged at 1.25 percent gross rent for years 6 and beyond. 

Projects charged on an hourly basis will be invoiced every month. Commission-based fees will be invoiced in three phases: 

  1. Ten percent of the commission when the letter of interest/intent is signed.
  2. Forty percent when the lease is executed.
  3. Fifty percent when the client agency moves into the leased facility.

New lease base services include:

  • Site/facility search, evaluation of potential sites, preparation of letters of interest/intent and negotiation of lease terms and conditions.
  • Preparation of lease documents and related correspondence.
  • Planning and design assistance, including development and review of exhibits, plans and performance specifications, and overseeing of new space build-out.
  • Review, negotiate and approve construction costs. Construction management, including site inspections, ensuring compliance with lease terms and conditions, communications with lessor, agency and contractors, and project close-out.

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Lease-renewal services

The facilities and services allocation, based on the inventory of existing leases when the  biennial budget is prepared, pays for leasing and design services.

Lease-renewal base services include:

  • Facility inspection, development of the deferred items list, and determination of upgrades required by GA specifications.
  • Lease-renewal negotiations and document preparation, including correspondence.
  • Monitoring lessor’s compliance for completion of the deferred items list and any upgrade requirements.

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Reimbursable services

Services not covered under a new lease or lease renewal are reimbursable services and are invoiced monthly a  $83.25 per hour.

 

Reimbursable services include, but are not limited to:

  • Alterations to existing leased space requested at renewal and during the lease term.
  • Request for assistance during the lease term (e.g., technical assistance, conflict resolution, lease modification, property management, and implementation of the withholding of rent clause).
  •  Change orders.
  •  Acquisition and disposal of property; lease development projects; easements, appraisals, rights-of way,   etc.
  • Legal counsel (assistant Attorney General advice).
  • Real estate-related services for delegated projects.

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Delegations

Delegation of authority to negotiate and execute agreements to lease and/or rent offices, classrooms and other spaces are charged a one-time fee of $250 for maintaining, overseeing, and updating the central registry’s database.

For further information, call (360) 902-7373, or send e-mail to RES Customer Support.

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