Why Flexibility Is the New Currency in Office Leasing
By Chris Rohrer, Broker & Pete Kostroski, Broker | Rokos Advisors
The office market has fundamentally changed, and flexibility has become one of the most valuable assets a tenant can have. Across the Twin Cities, businesses are rethinking how much space they need, how long they have to commit, and how their workplace supports evolving operations. In today’s environment, flexibility isn’t a perk. It’s leverage.
For tenants, the conversation is no longer just about rent. It’s about optionality, adaptability, and protecting the business from uncertainty — whether that comes from workforce shifts, economic cycles, or growth opportunities that don’t fit neatly into a 10-year lease.
What’s Driving the Demand for Flexibility
Hybrid work, evolving headcounts, and changing space utilization have forced tenants to take a harder look at long-term commitments. Many companies simply don’t have the same confidence in projecting their space needs five to ten years out — and landlords are increasingly aware of that reality.
At the same time, elevated vacancy and new supply in certain submarkets have shifted leverage toward tenants. This has opened the door for more creative deal structures, shorter terms, expansion and contraction rights, and concession packages that support flexibility rather than restrict it.
Flexibility Shows Up in More Than Just Lease Terms
While shorter lease terms are often the most visible form of flexibility, they’re only one piece of the puzzle. Today’s tenants are negotiating for flexibility in multiple ways — including phased occupancy, early termination rights, renewal options, and rights to expand or relocate within a building.
Build-out strategy also plays a role. Many tenants are prioritizing layouts that can adapt over time, with shared collaboration areas, modular offices, and furniture solutions that allow space to evolve without major capital investment. Flexibility isn’t just contractual, it’s operational.
Why Flexible Leases Create Real Leverage
Tenants who build flexibility into their lease gain a powerful advantage in negotiations. When a landlord knows a tenant has viable alternatives — whether that’s a sublease, shorter-term deal, or another building — the conversation shifts. Flexibility creates options, and options create leverage.
This is especially true in renewal scenarios. Tenants who start planning early and understand the market are better positioned to push for improved terms, additional concessions, or structural flexibility that wouldn’t be available in a last-minute negotiation.
Balancing Flexibility with Stability
Flexibility doesn’t mean instability. For many tenants, the goal is balance — securing favorable economics while maintaining the ability to adapt. In some cases, that may mean a longer lease paired with strong exit or expansion rights. In others, it may mean a shorter commitment with built-in renewal options that preserve future leverage.
The key is alignment. A flexible lease should support the company’s business strategy, not create uncertainty or operational disruption.
In today’s office market, flexibility is one of the most valuable currencies tenants can negotiate. Those who prioritize adaptability, plan ahead, and understand their options are consistently securing better outcomes — not just on rent, but on terms that protect their business long-term.
Are you evaluating your office lease? Connect with Rokos Advisors today, to ensure flexibility is built into every decision, not treated as an afterthought.
Rokos Advisors is an award-winning Minneapolis - St. Paul based commercial real estate/tenant representation firm specializing in helping businesses find the perfect office or industrial space for their company.