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OVER THE LAST DOZEN years, Randall Hensley's branding business has had its exuberant ups and its life-threatening downs. What it no longer has is the burden of carrying the cost of an office in tough times.
Two years ago, Mr. Hensley moved his company, Industrie Brand Partners, to temporary executive suites at 535 W. 34th St.
The $1,500 per month he pays for each of his eight workstations is more than four times what he'd pay for the same amount of raw space. But the money also buys him furniture, computers, phones and Internet access, and the use of a receptionist and conference rooms. Most important, it buys him the flexibility to downsize and scale up easily when his workload changes.
Geared to demand
"I love it because I don't have to worry about the overhead. Everything we pay - office and employees - are all on demand," he says.
Thanks to tenants like Mr. Hensley, who are doing more business but are reluctant to commit to permanent space, the temporary office business is back. After a precipitous drop that forced two of the biggest executive suite operators into Chapter 11 two years ago, demand for furnished office suites is growing again. Occupancy rates are reaching 90% at better locations, and rents are climbing, with some prestigious addresses commanding $2,000 and more...