Searching for a commercial property can be daunting, and often ask yourself, where do I start? How do I know if I’m getting a good deal? Whether you are looking for a leasing medical office space, industrial building, retail space, or office suite, the process is generally the same. Below we will outline 5 easy ways to save money on your commercial lease.
What are the different ways to save money on your commercial lease?
5 Easy Ways to Save Money on Your Commercial Lease
Leasing commercial space is necessary for any business, whether you are looking for a medical office or an industrial property. Tenants want to find the best location at the best price.
Here are some critical points on managing your commercial lease to save money.
#1 Do Proper Research
First, do proper research by hiring a specialized real estate professional to help guide you through the process; look at multiple properties so you have a complete understanding of the overall market, compare the pros and cons of each property, and have your real estate professional negotiate the best deal, review the lease thoroughly and be confident in your decision.
Also Read: Lease vs. Rent
#2 Establish a Budget
A proper budget is an excellent way to guide your practice moving forward and help save you money over time. When searching for the right medical office property, your budget will often dictate the buildings you will be able to consider. Always look at all parts of the market, the top, low and middle; this way, you can gauge what works for you and gives you complete confidence you are making the right decision.
#3 Negotiate a Tenant Improvement Allowance
Within medical office properties, landlords tend to provide Tenants with tenant improvement allowances (“TIA”) to help them build out their suites. This amount can vary depending on the length of the lease term, the rent being paid, and the Landlord. This is one area that can significantly help you save money in the long run, and typically you will get a larger TIA when you hire a real estate broker to negotiate for you.
#4 Read Lease Agreement
Do not accept your Landlord’s lease agreement conditions immediately. The first copy of the commercial lease agreement will undoubtedly favor the Landlord, so try to negotiate. Negotiations on each term are essential to the leasing process, so be intelligent and diligent in how you approach the process. Try to convert the agreement in your favor as much as possible. Your real estate professional should guide you through this process.
#5 Keep Your Options Open
Always keep two to three commercial spaces in mind as a backup so that you have options should one not work.
Please get in touch with us if you are looking for medical office space for rent or have any inquiries regarding medical office properties. Our team will help you with the best possible solution.
