The term Class A is generally defined by premium office space in buildings located in highly desirable downtown areas. Highlighted by modern architecture and design, professional management, advanced technologies and amenity packages, Class A space also comes with higher rental rates. While industrial and warehouse space, on the other hand, conjures up a grittier appeal long reserved for tenants with manufacturing and distribution needs.

However, in today’s commercial real estate market, as rental and CAM rates soar and employees continue to work from home or adapt to hybrid schedules, companies are trading in the allure of those traditional office buildings and vying for cost efficient industrial and warehouse space and creatively turning those spaces into what could be classified as Class A.

Excel Construction of Florida, a leading construction firm that builds Class A offices in traditional buildings as well as in industrial and warehouse space, has been at the forefront of redefining Class A office space for corporate clients who find tremendous value in converting non-traditional spaces to meet their needs.

The appeal is not just in the shiny downtown office tower anymore. Here are some of the reasons why industrial space is gaining traction with top-tier, high-profile corporate tenants who are seeking non-traditional premium workspaces.

Cost-Effectiveness

Escalating real estate prices, particularly in downtown areas, have forced businesses to explore more cost-effective alternatives. Renovating existing industrial spaces, which were previously overlooked, proves to be an economically viable option. Those cost savings can then be redirected toward enhancing employee experiences, developing state-of-the-art technologies and creating a sustainable infrastructure. Industrial and warehouse spaces typically provide more parking at no cost, unlike the limited and costly parking in Class A buildings.

Innovation Hubs

To foster collaboration and creativity, businesses are recognizing the potential of converting industrial spaces into innovative hubs. These large, open floor plans provide ample room for flexible layouts, co-working spaces and collaborative zones that facilitate team interaction and the exchange of ideas. The creative atmosphere that’s fostered in these transformed industrial spaces are proving to enhance collaboration, comradery and communication.

One example of a company that has embraced the possibilities presented in warehouse space is Excel Construction of Florida’s client, Chauvet, a leading entertainment lighting company. The company chose to move its global corporate headquarters to Davie Business Center Building E, an industrial office park in South Florida. The company fully transformed 172,680-sq.-ft. of open industrial space into an expansive and sophisticated two-story workspace, enabling executives, design professionals and tech representatives to all work under one roof, creating a new level of synergy for the company.

The space, which features a customer service center and tech repair center, was also built with an abundance of Class A features such as a marble entrance, glass railings, a state-of-the-art light testing facility and showroom, glass-fronted offices, open work areas with private phone booths, a multipurpose room and an outside covered terrace.

Customization and Identity

Industrial spaces can be tailored to suit the unique identity of each business. Unlike standard office buildings, which may have a uniform design and space limitations, converting industrial spaces allows companies to create an atmosphere that reflects their brand, values and culture. The sense of identity fostered in these spaces promotes employee pride and engagement.

Chamberlain University Campus and Adtalem Global Education Offices, for example, worked with Excel Construction of Florida to transform a former and outdated USA Today printing and distribution facility into a state-of-the-art healthcare education facility. Excel rehabilitated the aging production warehouse space into what is now a 56,000-sq.-ft. stunning and modern nursing school, designed to appeal to students and bring enhanced excitement to learning.

Playing off the building structure’s original industrial characteristics, the modern renovation captures today’s modern design trends with large open ceiling areas spanning more than 25 feet. Existing skylights were incorporated into the design to enhance the interior space and bring natural light into the hallways while reducing energy costs. Exterior upgrades included additional parking, lush tropical landscaping and a welcoming redesigned entrance for students and faculty.

Eco-Friendly and Sustainable Practices

An increasing focus on environmental responsibility has driven businesses to seek greener solutions. Industrial spaces can offer opportunities for sustainability initiatives, such as repurposing existing structures, utilizing natural light and ventilation, and implementing energy-efficient technologies. By transforming these spaces instead of building new ones, companies demonstrate their commitment to a greener future.

Flexibility and Scalability

Industrial spaces also typically offer more room for expansion, growth and customization compared to traditional office buildings. Businesses can easily scale operations as needed, making them an attractive option for companies with long-term growth plans.

Marble of the World utilized Excel Construction of Florida’s expertise to design a showroom, headquarters and warehouse, all in one nondescript 94,264-sq.-ft. industrial space. The high-end global company needed a significant amount of space to showcase its products, but it also required a high-end Class A quality workspace to welcome their global clientele.

The solution was to transform a large open industrial space in Pompano Beach into a vibrant showroom highlighted by expert finishes, intricately designed common areas and high-end work, office and customer areas. Unique features of the space included a custom-built trellis, custom millwork and exquisite chandelier lighting. The building was designed to showcase the company’s exotic marbles throughout on walls and flooring. Described by Excel Construction of Florida as the “Taj Mahal in a warehouse,” the finished industrial space is a canvas of beauty, function and elegance.

Safety and Convenience

There are also additional benefits to employee safety and health when opting for a converted industrial office space, especially in the context of concerns about the pandemic. Designed with individual ground-floor entrances, industrial spaces don’t require employees to use shared elevators and are equipped with separate HVAC systems, reducing the risk of infection through shared air circulation.  Most industrial spaces also feature higher ceilings which improves overall ventilation.

Finally, businesses and their employees will benefit from the convenience of reduced commute times, since most industrial spaces are in or near suburban areas where land is more readily available. Suburban areas, unlike busy city centers, often have less traffic congestion which significantly reduces travel time to work.  Suburban areas also tend to have more housing options for employees who choose to live nearby, which also helps to improve work-life balance.

As businesses continue to relocate to South Florida and as land becomes increasingly scarce, industrial conversions will become an even more popular solution for companies that need the space and want the freedom to design their future workplaces. The story of evolution, adaptability and progress doesn’t just stop there, however. As businesses progressively move into these industrial areas and spaces, underutilized surrounding neighborhoods will also come to life with increased economic activity that might include the addition of new restaurants, retail and multifamily developments.

The key to a successful industrial conversion project is to utilize knowledgeable contractors who have an extensive portfolio of high-quality and successfully finished projects to share. It’s companies like Excel Construction of Florida, who have deep knowledge and experience building out Class A offices, erecting industrial buildings from the ground up and renovating spaces in a wide variety of settings, that are well qualified to take on an industrial conversion project from start to finish.

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