Getting the right property for a new or existing business can mean a lot to a New York business owner. While some entrepreneurs seek to purchase the land and buildings that their empires will grow on, others look to commercial leases to find the space that they need. Securing a commercial property as a rental can take time, energy, and money. The help of a commercial real estate attorney can help a business owner get the best possible terms in their lease agreement.
Commercial leases: Basic terms
Most commercial leases include a few basic provisions related to universal topics. These topics can include, but are not limited to:
- Rent: amounts, due dates, and other topics.
- Deposits: how much and what it takes to get them back.
- Improvements: what renters can do and not do to their rentals.
- Subletting: whether subleasing of retail space is permitted.
At its core, a commercial lease agreement sets up a schedule of responsibilities and expectations between the lessor and the lessee. It provides remedies to the parties if the other violates the lease’s terms.
Negotiation of terms for a better agreement
Even though most leases include these and other generic terms, the specific of the terms can and should be negotiated so that they are both workable and fair to the parties. For example, a large commercial warehouse and a micro-retail probably should not have the same rent. Similarly, the location of a rental property may change what a lessor can and cannot demand in their agreements. Knowing the commercial real estate market and having data to back up a negotiation can help a party get a good deal on their lease agreement.
Negotiations can be stressful, particularly if a lessee wants a specific commercial unit. This post does not provide any legal advice, but does suggest that readers with commercial lease questions approach local real estate attorneys with their commercial lease negotiation questions.