Short answer: Before signing a managed office agreement, confirm exactly what the per-seat price includes, the lock-in and notice period, the escalation rule, your rights to add or reduce seats, who pays for customisation, the service levels and remedies, and what happens if the operator exits the building.

Why the agreement matters more than the brochure

Managed offices are sold on speed and simplicity: a fitted floor, one invoice, and an operator who handles the building. That simplicity is real, but the commercial terms sit in a services agreement, not a lease, and the terms vary a lot between operators. Comparing two offers on headline seat price alone often hides the differences that matter.

Price and inclusions

  1. What exactly is in the seat price: power, air-conditioning hours, internet bandwidth, housekeeping, meeting room credits, parking?
  2. Which items are billed on actuals or as extras, and at what rates?
  3. How is the seat count calculated against the area, and can you see the layout behind it?

Term, escalation and flexibility

  1. What is the lock-in period, and what is payable if you leave early?
  2. What is the notice period after the lock-in?
  3. How and when does the price escalate?
  4. Can you add seats, and is there a right of first refusal on adjacent space?
  5. Can you reduce seats during the term?

Customisation and operations

  1. Who pays for branding, cabins or layout changes, and is that cost amortised into the seat price or charged upfront?
  2. What are the service levels for IT, maintenance and housekeeping, and what are the remedies if they are missed?
  3. Who owns network security and access control, and can you run your own firewall or VLAN?

Operator risk

  1. What is the operator's arrangement with the building owner, and what happens to your occupation if that arrangement ends?
Ask for this in writing. It is a reasonable question and a good operator will answer it clearly.

Frequently asked questions

Is a managed office agreement a lease?

Usually not. It is typically a licence or services agreement, which affects your rights, the registration requirements and how disputes are handled. Take legal advice on the specific document.

Is the per-seat price comparable across operators?

Only after you normalise inclusions, seat density and escalation. Two quotes at the same seat price can produce different total costs over the term.

When does a managed office make sense?

When speed, flexibility or avoiding capital spend on fit-out matter more than the lowest long-run occupancy cost. Our comparison of managed and traditional leasing covers the trade-offs.

Related reading: Managed office vs traditional lease · Managed workspace advisory.