As many regulations that exist related to the handling of residential real estate transactions, they are very few in place that restrict how commercial ones should be handled. It’s because of this that you should be quite vigilant when negotiating a commercial lease with your landlord.
With commercial property leasing, it’s not all that uncommon that a landlord will try to rope you into signing an long-term lease, such as one lasting 10 years or longer. If they seem to be unwilling to budge on the length of the lease, then you want to try to negotiate some type of concessions agreement. As as example, you might ask them to remodel the rented space or allow you to earn free rent over time.
Because this field of real estate is largely unregulated, it’s likely that the contract that the landlord signs won’t contain an “out” clause unless you do your own due diligence to have one included. Having a real estate attorney review and negotiate your lease can be helpful for you. He or she can ensure that just the right type of legalese is utilized so that you can pull out of the lease if it no longer is working for you.
Before signing a commercial lease, you should also make sure to check zoning restrictions in the area and for the building you’re going to lease to make sure that you can run the type of business you want to from it. You should never simply take a landlord at their word on this as he or she may simply be looking to move the property instead.
When it comes to commercial real estate, that fact that the space is poorly regulated should make it clear just how important it is that you have an attorney help you review and negotiate each and every part of the agreement. By having a St. George, Utah, real estate law attorney counsel you in your commercial real estate lease negotiation process, you’ll be more likely to sign a contract that provides some flexibility and that protects your interests.
Source: The Huffington Post, “Eight big mistakes to avoid when negotiating a lease for your business,” Melody Stevens, accessed Oct. 13, 2017