When you are interested in leasing a property for commercial purposes, and you are confident that the property in question is a smart choice for you, it is time to start the process of negotiating the lease. Signing a poor lease agreement will be sure to create problems for you in the future, so it’s best to invest time into negotiating the details upfront.
If you are not already familiar with the types of commercial leases available, it’s a good idea to start by looking over these. Some leases cover maintenance and insurance, whereas others make the tenant responsible for all associated costs of residing in the space. The following are some tips for successful negotiation after you have decided which type of lease is best for you.
Always make a counteroffer to the asked rent
Landlords usually start high when they make a lease offer. Therefore, you should take an objective view regarding what you think that the space is worth, and make a counteroffer based upon that. You should expect to pay 10-15% less than what the landlord initially asks for.
Don’t only negotiate on one property at a time
If you have your heart set on a particular location, you are more likely to make decisions based on emotion rather than rational thinking. Therefore, you should ensure that you are negotiating on several locations at the same time. This way, you will have more power to be ruthless in your negotiating tactics.
If you want to guarantee that you are negotiating a commercial real estate lease in a smart way, you should have an attorney review every detail of the terms.