Dell goes back on WFH pledge, forces employees to come back to the office

Re:Dell goes back on WFH pledge, forces employees to come ba... by bsder on Monday May 15, 2023 @03:11PM (#35953164)

> for no other reason than to avoid setting a precedent for lower rents even when it wasn't financially necessary.

I agree with your virtiol, but this isn't quite correct.

You can tack "missing" rent onto the end of your financial agreement without penalty. "Lower" rent causes a reevaluation of the financial agreement basis which will almost always require a cash outlay. This is what is causing commercial real estate to be empty for 5+ years rather than lower the damn rent.

Municipalities need to implement an (in?)occupancy tax to stomp this crap out. If real estate isn't generating rent for 12+ months, tax needs to start going up on the space.

[ Parent | on HN ]

Re:Dell goes back on WFH pledge, forces employees to come ba... by smugma on Monday May 15, 2023 @03:40PM (#35953431)

SF has a Commercial Vacancy Tax, for properties unoccupied for 182+ days a year.

My guess is that it is not well-defined and therefore generates minimal revenue. I also can't tell if this applies to office buildings or is more for street level commercial real estate.

[ Parent | on HN ]