You may own or lease your business’ office space, but once you cover that cost, you have to operate the facility. And if your office is in Salt Lake City, you likely pay less to operate it than anywhere else in the country.{mprestriction ids="1,3"}
Those are the finding of a new report from the Building Owners and Managers Association (BOMA) International titled “2018 Office Experience Exchange Report.” BOMA has compiled a list of the most- and least-expensive private-sector office markets in the United States based on total operating expenses.
Total operating expenses incorporate all expenses incurred to operate office buildings, including utilities, repairs and maintenance, roads and grounds, cleaning, administration and security.
Salt Lake City takes the top spot as the market with the lowest operating expenses. At $6.08 per square foot, Salt Lake City is less than half the cost of New York City, the most expensive city. Nashville, Tennessee, and Orlando, Florida, hold the second and third positions on the list of least expensive, respectively, with operating expenses only 1 cent per square foot apart.
New York City tops the list of most expensive at $12.95 per square foot, followed by San Francisco at $11.65 and Washington, D.C. at $10.94. Boston appears on the list for the first time in five years, and Oakland, California, is also a newcomer to the list — likely driven by the high cost of nearby San Francisco.
Overall operating expenses saw a moderate increase in this year’s report, as the industry continues to support a strong labor market.
Most Expensive Office Mar-kets, Total Operating Expenses (per square foot):
1. New York, New York $12.95 per square foot
2. San Francisco, California ,$11.65
3. Washington, D.C.. $10.94
4. Boston, Massachusetts, $10.24
5. Oakland, California ,$9.87
Least Expensive Office Markets, Total Operating Expenses (per square foot):
1. Salt Lake City, Utah, $6.08 per square foot
2. Nashville, Tennessee, $6.14
3. Orlando, Florida, $6.15
4. Phoenix, Arizona, $6.25
5. Cincinnati, Ohio, $6.34{/mprestriction}
