During renewal of a lease or after discovering favorable a business, you get a chance to negotiate the lease terms. The process can be a bit tricky, but if done right, the negotiations can be beneficial for your business. Through this blog post, we discuss some techniques to help you with real estate lease negotiation.
- Add clauses to increase your rights
You can include a clause like the ability to sublease that will help you in case you don’t require the complete space. It is also a wise idea to include a non-compete through which a direct competitor will not be able to lease space on the same premises.
- Take the support of commercial real estate expert
A proficient real estate banker, real estate broker, or attorney will help homepage you negotiate more efficiently as compared to doing it on your own.
- Negotiate the monthly fees
Apart from monthly rent, the landlord levies maintenance fees and fees for using utilities. Ask how you are charged for the same. Also, discuss if you get an access to shared facilities, like parking area and bathrooms, or you have to pay an additional fee for them.
- Improvements to the property
Tenants are not allowed to alter or make an improvement in the property without the consent of the landlord. You can include a clause that allows you to do necessary modifications in future, with the consent of the landlord.
- Reconsider the length of the lease
Ideally, one or two year lease is considered suitable for small businesses. If you believe that the chances of finding a similar location are high, go for a shorter lease.
Conclusion: Make sure you read all the clauses carefully before making the final decision. Do not hesitate in discussing a point or clause with real estate broker if you find it unclear or misleading. You can contact us for all your commercial lease-related requirements in Washington DC.