From Wikipedia, the free encyclopedia
An executive suite is a set of individual offices sublet from a larger suite of offices. The executive suite proprietor rents entire floors (or buildings) and leases the smaller office spaces or workstations to businesses that don’t need, or can’t afford, large space.[1]. Some executive suite landlords offer additional services[2]. This variation on the traditional office idea has become an industry with roots in the early ‘90s (seeHistory). There is no universal agreement on terminology as executive suites go by many different names, such as: open plan office, serviced office, office business center, office suite, business center, executive office, furnished office, flexible office, managed office, shared-office space and office hoteling. Office suite, as software, stands as testament to the confusion in the terminology. It is not uncommon for a traditional tenant to sublet unutilized space and to characterize it as an “executive suite.”[3]
History
In 1983 James Blain a Michigan based architect saw an increased need for single story office space, that specialized in small office user who seek convenience with flexible lease terms and minimal overhead expense. In 1985 James opened his first AmeriCenters[1] in Troy, Michigan that specializes in providing clients with a convenient, full-service, professional office environment so that they can stay focused on their core business. The company has grown to 9 locations located in Michigan, Indiana, Illinois and Ohio.[4] With increasing urbanization, travel, hotels, and office costs, the idea of an executive suite occurred to Mark Dixon in 1989 on a trip to Belgium.[5] His company evolved into Regus, a publicly traded and successful operator of individual office suites internationally. The company became overextended and went bankrupt in 2003.[6]
Also in 1989, Ralph Gregory incorporated “The Virtual Office”. He became a first-time father that year and wanted to be at home with his daughter, but also wanted to keep his business professionalism high.[7] He later changed the company to Intelligent Office and in 1994 [8] he opened a location in Boulder, Colorado. Gregory evolved the executive suite idea into the concept now known as the “virtual office”. Despite the setbacks of 2001-04, the executive suite industry managed to survive and grow with the increasing demand for office space, but current economic conditions are again proving to be a challenge.[9] In the current economy, landlords are using the executive suite model as a device to harbor their own space until a large renter comes along.[10]
References
- ^ “Executive Suite.” MSN Encarta. 2009. Archived 2009-10-31.
- ^ “Executive Suites.” Entrepreneur.com. 2009.
- ^ Tarquino, J. Alex. “Manhattan is Awash in Sublet Office Space.” New York Times. May 26 2009.
- ^ www.americenters.com
- ^ “Regus Group PLC. Europe Intelligence Wire. August 16 2006.
- ^ “Regus Files for Bankruptcy Protection“. BBC News. January 15 2003.
- ^ Taylor, Mike. “Offices A La Carte.” Colorado Biz Magazine. August 26 2005.
- ^ “The Intelligent Office System, LLC.” Freefranchisedocs.com.
- ^ Kirchhoff, Sue. “Economic Downturn Pounds Commercial Real Estate Market.” USA Today. January 11 2009.
- ^ Howe, Aleshia. “West 7th Aims for Small Businesses.” Fort Worth Business Press. June 1 2009
Text is available under the Creative Commons Attribution-ShareAlike License
