Negotiating Tips

Trade Extended Lease Term for Reduced Rent Rate

March 29, 2017    

Although the market has bounced back in many—especially urban—areas of the country, rental rates are still good or even relatively low in certain areas. If you have several years left on your lease and think that you’ll have to continue to pay a rental rate that could be better...

Push for Unusual Concessions During Negotiations

February 28, 2017    

Vacancy rates are still a struggle for shopping center and office building owners in some areas. Maybe the local economy isn’t robust and businesses aren’t interested in new office space, an owner’s projections for how much foot traffic a center will see were higher in theory...

Use Two-Part Strategy to Escape Changing Neighborhood

November 30, 2016    

Depending on a variety of factors, demographics in the area surrounding a commercial property can shift and the tone of the neighborhood could change with it. If you’ve planned to operate in a certain space partly because of its impressive location, this decline in or change of the tone of...

Negotiating HVAC Rights, Responsibilities

October 31, 2016    

While heating, ventilating, and air conditioning (HVAC) equipment used at office buildings and shopping centers is a basic day-to-day necessity for doing business, you shouldn’t take this issue for granted.

Don't Forget Basic Terms in Midst of Specialty Lease Negotiations

April 26, 2016    

Depending on the type of space you need and the nature of your business, your lease provisions could be somewhat complicated. Specialty leasing, like medical or dental practices taking space in shopping centers, is more popular than ever but creates additional considerations for both sides. And...

Add Three Key Requirements to Maintenance and Repair Clause

May 15, 2015    

The lease you are negotiating probably requires the owner to maintain and repair its building’s or center’s common areas and maybe your space, too. But don’t be surprised if the owner asks for an exemption—that is, a “carve-out”—from its repair duties if...

Convince Owner to Trade Rent Relief for Certain Lease Rights

March 31, 2015    

Despite a steadily improving economy, some retailers—usually so-called mom-and-pop stores and new businesses—might still have to watch every dime. Some may even be struggling. If you’re paying more rent for your space than is feasible, but the location or other aspects of the...

Avoid Overpayments with Audit Right

August 25, 2014    

A typical owner won’t object if you ask for an audit right in your lease to avoid overpaying. After all, there is no justification for pushback other than wanting to cheat you. But while owners generally don’t refuse to give tenants an audit right in a lease, you will have to...

Investigate Owner Before Negotiating Lease

March 31, 2014    

To make an informed decision about the space you plan on leasing, you need to thoroughly investigate potential owners before signing any lease. After all, “doing due diligence” is the same process that an owner will put your business through before deciding whether it wants to lease...

Protect Your Exclusive from 'Grandfathered' Tenants’ Use Changes

January 31, 2014    

Most shopping center leases in which the tenant has an exclusive, “grandfather”—that is, exclude—preexisting tenants from complying with it. If you’re prepared to agree with the owner that the exclusive that you’ve negotiated won’t apply to preexisting...

Lower Your Costs of Renting Commercial Space

November 26, 2013    

With the commercial real estate market improving in many areas, scouting out an affordable space to rent can be more challenging that it was during the recession. If you’re looking for space in an area where there are dwindling vacancies and owners don’t need to make many concessions...

Negotiating Blend-and-Extend Lease Amendments

September 27, 2010    

The weakened commercial real estate market has given new tenants the opportunity to negotiate their rent with owners that have been willing to budge on prices to fill space. But tenants with several years left on their leases can still take advantage of the low rental rates currently in...

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