Top three things to know before leasing a commercial property
Whether you’re setting up a new shop or expanding on your current business, signing a commercial lease can be exciting! If you’re a lessor, finding the perfect business for your available space is a great feeling too. Before jumping in, though, it’s smart to make sure many things are squared away, including:
- Lease expectations. Make sure the terms of the lease are understood by both parties. A thorough discussion and established report between lessor and lessee helps to ensure that everyone is on the same page about the requirements of the lease, fees, utilities, expansions, length, and more.
- Use and purpose of the business. Lessees should be very clear about what their business is for, who will be there, what kinds of customers are sought, and more. Lessors should make sure any nuisance laws or zoning laws are a good fit for the type of business that seeks to use the space. This, again, will help to ensure that no surprises pop up down the road.
- Who you’re working with. Parties on both sides of the agreement should do background checks. This is a matter of safety. Lessors should make sure your prospective tenant doesn’t have a history of running out on leases or accumulating debt, and lessees should talk to other people that the lessor works with to learn about any problematic history.
Good communication and a solid understanding of the people you’re working with will lead to a successful lessor/lessee relationship!