Commercial buildings are usually office buildings, warehouses or shopping malls – buildings where trade an exchange of services or products happen. The word "commercial" instantly means something related to buying and selling. History tells us that man’s development and knowledge about the world around him was helped along by the development of commerce. Places and areas where commercial activities were centered became the markets and urban centers of today.
Whether you are buying or selling goods or services, you will need a center for all of these activities. Choosing which commercial building to rent or lease is an important decision that is not supposed to be left to chance. Think about these tips before you rent or lease a commercial building.
- Get a broker that matches your needs. There are a lot of real estate brokers who will readily help you get your commercial space. To help guide your choice, work with a broker that has the necessary experience to match what you need. This is most important when it concerns experience with regard to real estate space size.
- Find out the lease terms for the commercial building you are planning to rent. Generally, short-term leases go from three to five years before being up for renewal. Long-term leases for commercial buildings sometimes last for up to 10 years.
- Study the contract and check the penalty for breaking a lease. You may have studied all the options and think this commercial building is the best place for you to set up shop. But you can never know what will happen in the future. You may find another building that is far better than this one. Just to be sure, check out the penalties for breaking a lease. These can range from forfeiting your security deposit to being sued for breach of contract.
- Find out the terms of the lease when you speak with the building landlord. Aside from finding out your monthly rent, it would be best to ask if there is going to be any clause regarding rent-escalation, and if so, what percent will this be. Be sure to ask if you are also required to pay for any maintenance charges, taxes and other expenses.
These are just a few pointers to consider when planning to rent or lease commercial buildings. With a seasoned broker beside you, the problems you may face should be minimal and success will be a matter of time.