How to Successfully Negotiate a Commercial Lease – Part 1 of 5

How to Successfully Negotiate a Commercial LeaseGiven the total business cost combined with the complexity of commercial leases (many can exceed 40 pages), leasing commercial space can seem like a very daunting task.

In this 5 part series, I will discuss fundamental negotiating basics every tenant should know to help mitigate risks and reduce costs when negotiating their commercial lease.

PART 1: Define Your Needs and Keep It Simple

The number one reason that the commercial leasing process becomes complicated is that expectations are not managed properly.

Define your needs: the location, timing, moving costs, new furniture costs, rental budget. Based on this established criteria, find a competent commercial real estate agent to begin the process.

A knowledgeable commercial agent will ensure the established criteria are realistic and will properly manage your expectations.

During commercial lease negotiations, issues will almost always arise that will turn a two-month process into a four-month process. The key to minimizing these issues is by establishing realistic criteria and managing expectations.

 

 

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