1. No category

Trends
Income/Expense Analysis®: Office Buildings
Trends in Office Buildings Operations, 2011
Chart 1: Cost Variations by Category
2011—Suburban
Total U.S
As a Percentage Increase Over 2010 Expenses
THE SAMPLE
This 2012 edition represents 2011 data collection from nearly
2,700 private-sector buildings across the United States and
Canada.
This year’s sample represents 2,140 office
developments, some of which contain multiple buildings.
Additionally, 370 Medical Office Buildings were included in a
separate report (Part 6), and are not included in these trend
reports.
Table 1 displays some of the characteristics of this year’s
sample. The typical suburban office property contained an
average of 135,710 square feet and is occupied by an average
of 10 tenants. Office buildings in downtown areas were
typically much larger, containing an average of 349,365 square
feet and 15 tenants.
The suburban office buildings tend to be relatively new with
86.3 percent of them built within the last 32 years. Downtown
properties were more diverse in composition with 64.9 percent
constructed since 1980.
Suburban office buildings are mostly structures of 1 to 10
stories in height. 89.9 percent of the suburban sample falls into
this category. Downtown properties generally contain at least
five stories. 49.3 percent of this year’s downtown sample
contains more than ten stories while 26.3 percent had five to
ten stories.
Table 1: Sample Distribution
2011—Downtown and Suburban—Total Sample
Number of Buildings Reported
Item
Number of Office Developments
Number of Buildings
Average Size of Buildings (Sq. Ft.)
Average Number of Tenants
Downtown
465
543
349,365
15
Suburban
1,675
2,146
135,710
10
Year of Construction*
Before 1965
1965-1979
1980-1989
1990-1999
2000-2009
2010-to date
Total
Downtown
75
67
169
41
53
0
405
Suburban
20
196
663
346
343
4
1571
*Not all buildings report year of construction
SUBURBAN MARKET SUMMARY
Table 2 and Chart 1 summarize the median income and
expenses for suburban office complexes across the nation.
Total collections decreased slightly in 2011 to $18.22 per
square foot of net rentable area. This represents a 1.3 percent
decrease from 2010. The most significant variance for
individual expenses occurred for Janitorial/Maintenance,
increasing 3.0 percent from last year. Total operating costs
decreased 0.7 percent to $8.32 per square foot.
12
4%
3.0%
2%
0%
0.0%
-0.7%
-0.9%
-2%
-2.7%
-2.8%
-4%
Table 2: Median Income and Expenses
2009-2011—Suburban
Total U.S.
In Dollars per Square Foot of Net Rentable Office Area
Line Item
Total Collections
Utilities
Janitorial/Maint.
Admin./Benefits
Net Operating Costs*
Insurance/Services
R.E./Other Taxes
Total Operating Costs
Occupancy Levels
2009
2010
2011
$19.75
2.05
2.11
1.11
6.20
1.15
2.30
8.80
89%
$18.46
1.96
2.02
1.12
5.97
1.09
2.20
8.38
89%
$18.22
1.96
2.08
1.11
6.03
1.06
2.14
8.32
89%
*Insurance not included in Net Operating Costs
’10-‘11
% Change
-1.3%
0.0%
3.0%
-0.9%
1.0%
-2.8%
-2.7%
-0.7%
0.0%
Table 3 presents the median net operating costs (including
insurance) for suburban office buildings by geographical
regional areas. The map on page 20 defines the geographical
areas and the codes which represent them. Due to the small
sample sizes of some areas, several individual regions have
been grouped to form larger and more statistically
representative areas (Regions 1, 2 and 3; Regions 7, 8 and 10).
Nationally, net operating costs increased to $6.03 per square
foot. All Regions net operating costs decreased with the
exception of the Northeast and Mid-Atlantic: and West Coast
regions. The Northeast and Mid-Atlantic region reported the
highest net operating costs, $6.78. The Southeast region
reported the lowest net operating cost, $5.32.
Trends
Income/Expense Analysis®: Office Buildings
Table 3: Median Net Operating Costs
2009-2011—Suburban
By Region
In Dollars per Square Foot of Net Rentable Office Area
Regions
2009
2010
2011
1,2,3
4
5
6
7,8,10
9
U.S.
$7.11
5.65
6.06
6.71
5.58
6.18
6.20
$6.70
5.50
5.57
6.78
5.47
5.54
5.97
$6.78
5.32
5.53
6.61
5.40
6.07
6.03
’10-‘11
% Change
1.2%
-3.3%
-0.7%
-2.5%
-1.3%
9.6%
1.0%
Table 4 isolates the median utility costs for suburban
properties by region. As a whole, suburban office utilities costs
remained the same at $1.96 per square foot. All regions
experienced decreases with the exception for the West Coast
region. The Southwest region experienced the highest utility
costs at $2.12, while the Central, Rocky Mountain, and
Northwest region reported the lowest at $1.76.
Table 4: Median Utility Costs
2009-2011—Suburban
By Region
In Dollars per Square Foot of Net Rentable Office Area
Regions
2009
2010
2011
1,2,3
4
5
6
7,8,10
9
U.S.
$2.40
1.92
1.76
2.28
1.76
2.04
2.05
$2.08
1.91
1.83
2.26
1.77
1.94
1.96
$2.04
1.82
1.78
2.12
1.76
2.04
1.96
’10-‘11
% Change
-1.9%
-4.7%
-2.7%
-6.2%
-0.6%
5.2%
0.0%
Table 5 breaks down expense categories by the proportion of
total operating costs which the individual expense categories
represent. Real Estate Taxes and Other Taxes for suburban
offices accounted for the largest portion of operating costs,
25.7 percent. Janitorial/Maintenance along with Utilities
represented 25.0 percent and 23.6 percent, respectively of total
operating costs. Insurance/Services and Administrative/
Benefits represent the remaining portion of total operating
costs.
Table 6 lists median management fees expressed as a
percentage of total actual collections. Nationally, median
management fees represent 3.35 percent of a suburban office
property’s total actual collections. The median management
fees for the Pacific Coast region reported at 2.84 percent of
total actual collections. Management fees in the Southeast
represent 3.70 percent of total actual collections.
Table 6: Median Management Fees
2009-2011—Suburban
By Region
As a Percent of Total Actual Collections
Regions
1,2,3
4
5
6
7,8,10
9
U.S.
2009
2010
2011
2.96%
3.18%
3.23%
2.92%
3.36%
2.76%
3.04%
3.16%
3.71%
3.59%
2.88%
3.47%
2.87%
3.41%
3.10%
3.70%
3.58%
2.89%
3.31%
2.84%
3.35%
’10-‘11
Change
-0.06
-0.01
-0.01
0.01
-0.16
-0.03
-0.06
Table 7 lists the median year-end vacancy levels for suburban
properties. The typical suburban office properties experienced
a 2011 year-end vacancy of 11 percent. The Midwest region
experienced the highest vacancy rate at 17 percent. The
Northeast and Mid-Atlantic regions reported a 6 percent
vacancy rate in 2011.
Table 7: Median Year-End Vacancy
2010-2011—Suburban
By Region
As a Percent of Rentable Office Area
Regions
2010
2011
1,2,3
4
5
6
7,8,10
9
U.S.
6%
11%
11%
12%
11%
19%
11%
6%
10%
17%
13%
8%
16%
11%
’10-‘11
Change
0
-1
6
1
-3
-3
0
Table 5: Comparison of Expense Categories
2011—Suburban
Total U.S.
As a Percent of Total Operating Costs
Utilities
Janitorial/Maintenance
Real Estate and Other Taxes
Administrative/Benefits
Insurance/Services
23.6%
25.0%
25.7%
13.3%
12.7%
13
Trends
Income/Expense Analysis®: Office Buildings
DOWNTOWN MARKET SUMMARY
Table 8 and Chart 2 summarize the median income and
expenses for downtown office complexes across the nation.
Nationally, total collections decreased to $20.30 per square foot
of net rentable office space. The cost of operating a downtown
office building decreased 1.9 percent to $9.95 per square foot
of net rentable area. The most significant variance for
individual expenses occurred in Administrative and Benefits,
decreasing 4.9 percent from last year.
Table 8: Median Income and Expenses
2009-2011—Downtown
Total U.S.
In Dollars per Square Foot of Net Rentable Office Area
Line Item
Total Collections
Utilities
Janitorial/Maint.
Admin./Benefits
Net Operating Costs*
Insurance/Services
R.E./Other Taxes
Total Operating Costs
Occupancy Levels
2009
2010
2011
$21.89
2.14
2.60
1.23
7.13
1.25
2.56
10.09
93%
$21.91
2.17
2.57
1.23
7.14
1.25
2.68
10.14
93%
$20.30
2.20
2.63
1.17
7.12
1.26
2.62
9.95
91%
*Insurance not included in Net Operating Costs
’10-‘11
% Change
-7.3%
1.4%
2.3%
-4.9%
-0.3%
0.8%
-2.2%
-1.9%
-2.0%
Chart 2: Cost Variations by Category
2011—Downtown
Total U.S
As a Percentage Increase Over 2010 Expenses
4%
2%
2.3%
1.4%
0.8%
0%
-2%
-2.2%
-1.9%
-4%
-6%
-4.9%
Table 9 lists the median net operating costs for downtown
office complexes by geographical region. As a whole, the
median net operating costs for a downtown office building
decreased 0.3 percent to $7.12 per square foot of net rentable
area. Office properties in the Northeast and Mid-Atlantic
region reported the highest net operating costs at $9.79 per
square foot, a 4.5 percent decrease from 2010. The Southeast
14
region reported the lowest net operating cost, $6.38, a decrease
of 0.3 percent.
Table 9: Median Net Operating Costs
2009-2011—Downtown
By Region
In Dollars per Square Foot of Net Rentable Office Area
Regions
2009
2010
2011
1,2,3
4
5
6
7,8,10
9
U.S.
$9.53
6.45
6.65
7.01
6.25
7.91
7.13
$10.25
6.40
7.09
7.03
6.72
7.59
7.14
$9.79
6.38
7.26
6.56
7.05
6.74
7.12
’10-‘11
% Change
-4.5%
-0.3%
2.4%
-6.7%
4.9%
-11.2%
-0.3%
Table 10 indicates that median utility costs for downtown
office properties rose 1.4 percent to $2.20 per square foot of net
rentable area. The Central, Rocky Mountain, and Northwest
region had the largest increase of 9.9 percent from 2010, to
$2.11. The West Coast region experienced the largest decrease
in utility costs, dropping 15.7 percent to $1.98.
Table 10: Median Utility Costs
2009-2011—Downtown
By Region
In Dollars per Square Foot of Net Rentable Office Area
Regions
2009
2010
2011
1,2,3
4
5
6
7,8,10
9
U.S.
$2.94
2.05
2.04
2.20
1.83
2.27
2.14
$3.12
2.03
1.95
2.18
1.92
2.35
2.17
$2.94
2.20
2.00
1.96
2.11
1.98
2.20
’10-‘11
% Change
-5.8%
8.4%
2.6%
-10.1%
9.9%
-15.7%
1.4%
Table 11 breaks down expense categories by the proportion of
total operating costs which the individual expense categories
represent. Utilities for downtown office accounted for 22.1%
of total operating costs. Janitorial/Maintenance consumed the
largest portion of total operating costs at 26.4 percent. Real
Estate and Other Taxes account for 26.3 percent of total
expenses while Administrative/Benefits accounted for 11.8
percent. Insurance/Services accounted for 12.7 percent of total
operating costs.
Table 11: Comparison of Expense Categories
2011—Downtown
Total U.S.
As a Percent of Total Operating Costs
Utilities
Janitorial/Maintenance
Real Estate and Other Taxes
Administrative/Benefits
Insurance/Services
22.1%
26.4%
26.3%
11.8%
12.7%
Trends
Income/Expense Analysis®: Office Buildings
Table 12 lists median management fees expressed as a
percentage of total actual collections. Nationally, median
management fees represent 2.96 percent of total actual
collections. The median management fees for the Central,
Rocky Mountain, and Northwest region consumed 3.37 percent
of a property’s total actual collections. Management fees in the
Pacific Coast regions were reported at 1.98 percent.
Table 12: Median Management Fees
2009-2011—Downtown
By Region
As a Percent of Total Actual Collections
Regions
1,2,3
4
5
6
7,8,10
9
U.S.
2009
2010
2011
2.62%
3.11%
2.56%
3.07%
3.08%
2.09%
2.83%
2.69%
2.89%
2.65%
2.89%
3.11%
2.51%
2.88%
2.56%
3.04%
3.01%
2.96%
3.37%
1.98%
2.96%
’10-‘11
Change
-0.13
0.15
0.36
0.07
0.26
-0.53
0.08
Table 13 presents the median year-end vacancy levels for
downtown properties. The national year-end vacancy increased
to 9 percent. The West Coast region reported the highest
vacancy rate at 17 percent. The Northeast and Mid-Atlantic;
and Central, Rocky Mountain, and Northwest regions reported
the lowest vacancies, at 5 percent.
Table 13: Median Year-End Vacancy
2010-2011—Downtown
By Region
As a Percent of Rentable Office Area
Regions
2010
2011
1,2,3
4
5
6
7,8,10
9
U.S.
6%
7%
15%
10%
4%
13%
7%
5%
9%
16%
13%
5%
17%
9%
’10-‘11
Change
-1
2
1
3
1
4
2
OFFICE MARKET SUMMARY
Table 14 compares the median income and expenses
experienced by suburban and downtown developments
surveyed this year. During 2011, downtown office properties
total actual collections were 11.4 percent more than their
suburban counterparts.
The suburban office project is less costly to operate than a
downtown building with total operating costs 16.4 percent less
than those of a downtown building. All expense categories for
suburban properties were less than those experienced by
buildings in a downtown setting.
Though the downtown properties reported higher total
actual collections than suburban properties, the overall
operating experience of both downtown and suburban office
markets were similar as reflected by the median operating ratio
(total operating costs divided by total actual collections). The
median operating ratio for at a suburban development was .45
while a downtown building’s operating ratio was .46.
Table 14: Median Income and Expenses
2011—Downtown vs. Suburban
Total U.S.
In Dollars per Square Foot of Net Rentable Office Area
Line Item
Total Collections
Utilities
Janitorial/Maint.
Admin./Benefits
Net Operating Costs
Insurance/Services
Total Operating Costs
Operating Ratio*
*Median from the National Reports
Downtown
$20.30
2.20
2.63
1.17
7.12
1.26
9.95
0.46
Suburban
$18.22
1.96
2.08
1.11
6.03
1.06
8.32
0.45
Data Summary
The Tables on the following pages provide an overview of
the statistics generated from the surveys. The first column of
each page describes the size of the sample in multiples of
10,000 per square feet. Key income items and expense
subtotals follow across the page. All dollar figures are based
on net rentable office area.
For more detailed information on a particular region, city or
building category, the reader should refer to the various
complete reports provided for each of the sub-samples located
elsewhere in this study.
15
National Data Summary
Income/Expense Analysis®: Office Buildings
Table 15: Summary of Selected Downtown Reports
2011 Operating Data
Median Values in Dollars per Square Foot of Net Rentable Office Area
Sq. Ft.
(10,000s)
Office
Rents
TAC
Utility
Costs
Janit./
Maint.
Admin.
Costs
Ins./
Svcs.
NOC
TOC
12657
16.22
20.30
2.20
2.63
1.17
1.26
7.12
9.95
Selected Regions
Regions 1,2 & 3
Region 4
Region 5
Region 6
Regions 7,8 & 10
Region 9
3072
2071
2095
2589
1442
1389
33.98
14.94
11.87
15.42
12.91
22.31
40.25
17.08
17.94
18.23
17.79
23.76
2.94
2.20
2.00
1.96
2.11
1.98
3.72
2.27
2.84
2.36
2.63
2.72
1.90
1.01
0.96
1.27
1.06
1.22
1.51
1.27
1.10
1.29
1.12
1.54
9.79
6.38
7.26
6.56
7.05
6.74
15.92
8.76
10.26
9.22
9.04
9.95
U.S.-By Building Size
5,000-39,999
40,000-99,999
100,000-249,999
250,000 and Over
113
459
1502
10584
12.12
13.15
15.16
19.69
15.14
16.87
21.97
24.89
1.98
2.11
2.41
2.18
2.52
2.51
2.49
2.86
0.79
1.04
1.28
1.34
1.06
0.91
1.32
1.43
6.23
6.46
7.68
7.51
8.50
8.46
10.05
11.43
U.S.-By Age
Before 1965
1965-1979
1980-1989
1990-1999
2000-2009
1226
2570
5691
1630
1313
11.59
17.67
16.29
17.49
19.69
17.89
20.64
19.76
25.05
26.29
2.32
2.55
2.05
2.22
2.41
2.60
2.95
2.62
2.84
2.45
1.11
1.27
1.22
1.29
1.14
1.27
1.30
1.26
1.19
1.32
6.77
7.51
6.93
7.84
6.93
9.59
10.44
9.57
11.96
10.22
U.S.-By Rental Range
$1.00-$9.99
$10.00-$15.99
$16.00-$19.99
$20.00-$24.99
$25.00 and Above
514
2825
2099
1607
3708
8.42
13.05
18.14
21.01
32.11
10.08
15.39
20.36
25.40
42.59
2.04
1.94
2.25
2.34
2.92
2.07
2.24
2.53
2.87
3.86
0.76
0.98
1.17
1.44
1.83
1.00
1.09
1.17
1.55
1.79
5.71
6.28
6.73
7.93
9.55
7.48
8.45
9.57
11.37
16.87
U.S.-By Type
1 or 2 Stories
3 or 4 Stories
5 - 10 Stories
11 or More Stories
126
404
1990
10137
14.93
12.13
15.64
18.37
16.54
15.56
21.00
23.76
1.89
2.20
2.24
2.22
2.06
2.53
2.63
2.84
0.71
1.06
1.14
1.33
1.16
1.03
1.11
1.38
5.06
6.69
7.32
7.49
7.65
8.91
9.77
11.11
Selected Cities
Atlanta, GA
Boston, MA
Charlotte, NC
Dallas, TX
Houston, TX
Kansas City, MO
Phoenix, AZ
Portland, OR
Seattle, WA
Washington, DC
501
788
498
994
771
284
340
222
244
1369
16.22
42.68
11.76
13.84
15.42
11.23
16.77
21.23
19.75
38.56
22.49
54.75
15.02
16.63
24.67
19.13
15.93
24.71
24.16
47.31
2.25
3.34
1.52
1.99
2.10
2.72
1.86
1.98
1.75
3.18
1.92
4.06
2.31
1.94
3.05
2.73
2.07
2.89
2.81
3.86
1.13
3.01
0.93
1.28
1.79
1.10
1.10
1.01
1.57
2.08
1.39
1.99
1.74
1.16
1.73
1.13
1.18
1.43
1.51
1.61
6.63
11.63
6.38
6.55
7.83
7.86
6.06
7.94
7.06
10.14
10.22
22.99
7.91
9.22
11.44
9.34
8.47
10.79
9.62
17.69
Reported
United States
33.65
16
National Data Summary
Income/Expense Analysis®: Office Buildings
Table 16: Summary of Selected Suburban Reports
2011 Operating Data
Median Values in Dollars per Square Foot of Net Rentable Office Area
Sq. Ft.
(10,000s)
Office
Rents
TAC
Utility
Costs
Janit./
Maint.
Admin.
Costs
Ins./
Svcs.
NOC
TOC
20448
15.90
18.22
1.96
2.08
1.11
1.06
6.03
8.32
Selected Regions
Regions 1,2 & 3
Region 4
Region 5
Region 6
Regions 7,8 & 10
Region 9
4494
3317
1987
4828
1968
3855
24.73
15.76
11.61
15.76
14.61
19.30
27.13
16.49
15.09
17.97
17.20
20.76
2.04
1.82
1.78
2.12
1.76
2.04
2.42
1.78
2.01
2.24
2.02
2.05
1.60
0.99
0.85
1.29
0.73
1.15
0.99
0.98
0.99
1.14
0.97
1.86
6.78
5.32
5.53
6.61
5.40
6.07
9.28
7.17
8.18
9.26
7.56
8.83
U.S.-By Building Size
5,000-39,999
40,000-99,999
100,000-249,999
250,000 and Over
783
3657
7072
8936
12.36
15.00
17.48
19.32
13.96
16.91
19.87
23.65
1.54
1.85
2.11
2.16
1.74
1.96
2.17
2.57
0.84
1.07
1.22
1.45
1.09
0.95
1.05
1.35
5.04
5.75
6.41
7.05
6.91
7.85
9.12
10.68
U.S.-By Age
Before 1965
1965-1979
1980-1989
1990-1999
2000-2009
182
2847
8770
4265
3644
18.27
15.68
16.21
14.94
18.08
24.30
18.11
18.05
17.59
21.27
2.15
2.15
2.06
1.73
1.82
2.76
2.34
2.29
1.90
1.87
0.80
1.13
1.17
1.05
1.17
1.09
1.23
1.12
0.98
0.93
6.78
6.39
6.35
5.48
5.89
9.69
8.71
8.76
7.90
8.32
U.S.-By Rental Range
$1.00-$9.99
$10.00-$15.99
$16.00-$19.99
$20.00-$24.99
$25.00 and Above
631
4292
4384
3133
4332
8.30
13.72
17.54
20.82
29.71
8.73
14.69
19.27
24.03
35.21
1.41
1.83
2.06
2.21
2.54
1.49
1.96
2.15
2.23
2.92
0.54
0.86
1.08
1.24
1.74
0.92
1.02
1.13
1.11
1.45
4.39
5.51
6.32
6.59
7.95
6.05
7.55
8.77
9.41
11.84
U.S.-By Type
1 or 2 Stories
3 or 4 Stories
5 - 10 Stories
11 or More Stories
3618
4790
5903
6137
12.88
16.32
18.22
20.38
14.90
18.59
20.12
24.23
1.53
2.11
2.10
2.24
1.65
2.15
2.30
2.75
0.91
1.14
1.28
1.48
1.00
1.01
1.06
1.38
4.85
6.28
6.61
7.22
6.73
8.63
9.29
11.10
Selected Cities
Atlanta, GA
Charlotte, NC
Chicago, IL
Dallas, TX
Houston, TX
Kansas City, MO
Los Angeles, CA
Minneapolis-St. Paul, MN
Phoenix, AZ
St. Louis, MO
San Diego, CA
Washington, DC
868
661
429
1898
1786
223
1012
750
415
331
341
2488
16.22
16.51
15.02
15.42
15.26
15.49
26.56
10.66
15.35
16.90
22.40
31.13
17.77
18.60
25.27
16.31
18.33
15.85
31.05
16.65
16.69
18.22
22.44
35.17
2.10
1.41
1.79
1.97
2.22
2.16
2.83
1.69
2.03
2.35
1.20
2.29
1.81
1.82
2.24
2.08
2.23
2.42
2.93
2.17
1.87
2.84
2.05
3.01
1.00
1.06
0.88
1.18
1.28
0.65
1.72
0.87
1.00
0.77
1.21
1.93
1.22
0.88
1.25
1.02
1.30
1.07
3.22
0.94
0.90
1.31
1.84
1.06
5.72
5.00
6.12
6.24
6.62
6.22
8.45
5.55
5.45
6.74
5.34
7.98
7.87
6.94
9.15
8.81
9.26
8.87
12.26
9.72
8.25
10.08
8.94
11.18
Reported
United States
17
Graphic
Income/Expense Analysis®: Office Buildings
Downtown-
Distribution of Median Annual Income
And Operating Costs
Percentages of Total Actual Collections
Net Operating Income ....................................................... 51.3%
Janitorial, Maintenance & Repairs ..................................... 13.0%
Utility Expenses ................................................................ 10.8%
Real Estate and Other Taxes ............................................ 12.9%
Administrative and Benefits ................................................. 5.8%
Insurance and Services ....................................................... 6.2%
6.2%
5.8%
12.9%
51.3%
10.8%
13.0%
Comparison of Total Actual Collections and Total Operating Costs
Downtown Buildings—U.S.—For Selected Regional Areas
Based on Dollars per Square Foot of Net Rentable Office Area
Regions
Total Actual Collections (TAC)
Total Operating Costs (TOC)
1,2 & 3
$40.25
$15.92
4
$17.08
$8.76
5
$17.94
$10.26
6
$18.23
$9.22
7,8 & 10
$17.79
$9.04
9
$23.76
$9.95
U.S.
$20.30
$9.95
$45.00
$40.00
$35.00
$30.00
$25.00
TAC
$20.00
TOC
$15.00
$10.00
$5.00
$0.00
Regions 1,2 & 3
18
Region 4
Region 5
Region 6
Regions 7,8 & 10
Region 9
U.S.
Graphic
Income/Expense Analysis®: Office Buildings
Suburban-
Distribution of Median Annual Income
And Operating Costs
Percentage of Total Actual Collections
Net Operating Income ....................................................... 54.2%
Janitorial, Maintenance & Repairs..................................... 11.4%
Utility Expenses ................................................................ 10.8%
Real Estate and Other Taxes ............................................ 11.7%
Administrative and Benefits................................................. 6.1%
Insurance and Services ...................................................... 5.8%
5.8%
6.1%
11.7%
54.2%
10.8%
11.4%
Comparison of Total Actual Collections and Total Operating Costs
Suburban Buildings—U.S.—For Selected Regional Areas
Based on Dollars per Square Foot of Net Rentable Office Area
Regions
Total Actual Collections (TAC)
Total Operating Costs (TOC)
1,2 & 3
$27.13
$9.28
4
$16.49
$7.17
5
$15.09
$8.18
6
$17.97
$9.26
7,8 & 10
$17.20
$7.56
9
$20.76
$8.83
U.S.
$18.22
$8.32
$30.00
$25.00
$20.00
TAC
$15.00
TOC
$10.00
$5.00
$0.00
Regions 1,2 & 3
Region 4
Region 5
Region 6
Regions 7,8 & 10
Region 9
U.S.
19