It is important to maintain a strong position when negotiating your commercial lease.
It’s not that I am suggesting not waiting to start your search for Commercial property to lease because inventory is shrinking, although it could be another reason not to wait. It is because sometimes the commercial leasing process may take longer than we might think it should.
In the past few weeks, I have had a number of business owners wanting to find property to move into in a week or two. I find it encouraging the number of people that want to start up a new business. I just wish some of them would consider the advantages planning ahead a little longer.
Now of course anyone that has been in business for any length of time knows of course that leasing a commercial property is nothing like simply renting an apartment of course but, sometimes the commercial leasing process takes a lot longer than we would expect and I believe it is good to be prepared it case that happens.
It is possible to move into a move-in ready property that requests no tenant improvements in a relatively short period of time, however, if you want more options available (perhaps considering a gray shell), the process could take considerable longer, I have worked on a commercial lease took about twice as long as I would expect, just a simple vanilla shell retail space that took over 2 months just to get from the initial LOI to signing the lease.
I would suggest not waiting till you are in a desperate time crunch to start to search for a commercial property to lease. Think about it if you are desperate, who do you think has the most leverage in the negotiations?
It is a good idea to be prepared in the event the commercial leasing process you may have thought would take 3 months to complete may take 6 months so be prepared just in case, don’t wait until a week before your current commercial lease is up to start your search for your next commercial property to lease.
Let me know how I can help you search for your commercial property to lease.
This information is for informational purpose and not intended to be investment advice, and should be explained to you in detail. You should always feel free to consult an attorney and/or tax adviser to obtain further information you deem necessary. I want you to be prepared.