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Class A Office Space describes the highest quality office space locally available. The architecture of Class A office structures always prioritizes design and visual appeal over cost, and sometimes over practicality - a Class A building can be considered a monument and a testament to the success and power of its tenants. In most areas, Class A office space is built in multi-story (usually 3 floors or more) buildings using structural steel and composite concrete construction. Cost for the structure alone (excluding land purchase and site improvements) is typically greater than US$150 per square foot, and often rises to several hundred per square foot depending on the tenant's preferences for interior finishes.

Office buildings are classified according to a combination of location and physical characteristics. Class B and Class C buildings are always defined in reference to the qualities of Class A buildings. There is no formula by which buildings can be placed into classes; judgment is always involved. A fair number of the Class C office spaces in the inventory are not truly office buildings but rather walk-up office spaces above retail or service businesses.

The Urban Land Institute, a noted authority on commercial land uses, says the following about these classifications in its Office Development Handbook: "Class A space can be characterized as buildings that have excellent location and access, attract high quality tenants, and are managed professionally. Building materials are high quality and rents are competitive with other new buildings. Class B buildings have good locations, management, and construction, and tenant standards are high. Buildings should have very little functional obsolescence and deterioration. Class C buildings are typically 15 to 25 years old but are maintaining steady occupancy. Tenants filter from Class B to Class A and from Class C to Class B."

[edit] External links

• Further clarification of How Office Buildings are Classified.