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What are the differences of class A, B, and C office buildings?

In Market Conditions - Asked by YOLANDA G. - Nov 19, 2008
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Answer(s)

Eric S.
Broker/Agent
Fall River, MA

Biggest difference is Location. A new downtown Boston Building would be considered A, where the same building in a suburban market might be a B

Nov 19, 2008
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Jim T.
Owner/Investor
Abilene, TX
Premium Member

A, B, and C have to do with how nice your building is compared to other buildings in that market.
A building that offers better than average ammenities and services is class A, average amenities is class B, and lower than average is class C. A class B building in one location could be a class A in another.

Nov 19, 2008
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Mark S.
Appraiser
Valrico, FL

The different classes are subjectively assigned based on a combination of location, building/amenities quality and condition, and tenant strength. A building can start out as Class A and gradually decline to Class C as it depreciates and competes with newer product. A building can also receive extensive renovation and jump up a class. A building with Microsoft as the main tenant would be Class A, whereas a building primarily occupied by Bill's Bail Bonds may be Class C.

Nov 20, 2008
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