What are building classifications?
All real estate buildings are classified as one of the following three letters: A, B, or C. Their classification is based on numerous characteristics. This classification categorizes buildings and helps investors, developers and tenants narrow down the type of building that they are looking for.
Class A is equivalent to Grade A, Class B is equivalent to Grade B, and Class C is equivalent to Grade C.
What is a class A office building?
Class A (Grade A) buildings are considered of the highest quality. These buildings are state of the art from both an interior and exterior perspective and are located in prime locations. High rental rates for class A buildings are accompanied by property management, security, private parking structures, and state of the art HVAC systems and wi-fi speeds. These buildings are typically occupied by established brands and institutions.
What is a class B office building?
Class B (Grade B) buildings may have been considered class A buildings at one point. Although these buildings aren’t class A, they are still of good quality. These buildings don’t offer around-the-clock security, a modern high-tech design or fancy amenities. However, class B buildings are significantly more affordable and accessible due to location. Class B buildings still offer a clean, elegant and professional environment without the high rental rates.
What is a class C office building?
Class C (Grade C) buildings are a great place for startups as they provide you with a significantly more affordable place for your team to work and collaborate. These buildings don’t typically have a management team, security, or any amenities. Class C buildings may visibly show lack of repairs and maintenance. However, tenants are always welcome to make upgrades at their own expense.