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Leasing Office Space: Dos & Don'ts

Leasing office space can make or break a business; the right office lease terms will enable your business to thrive, but the wrong one can leave you locked into the wrong office space that could hamper productivity and affect your bottom line.

Below are a list of Dos and Don'ts of leasing office space to make sure you secure the right office lease terms for your business:

DO - Define your Criteria
Think carefully about what you want and get a clear understanding of the criteria your business requires before you start touring any office properties. Consider issues such as size, location and facilities as all these are important factors to help you secure the right office space.
TOP TIP: Use the Office Space Calculator to find out how much office space you need.

DO - Set Budget Limits
Having a clear rental budget in mind will eliminate any temptation to make your leasing decision a business one - rather than an emotional one. You don't want to overstretch yourself - and you will need some contingency for rental increases over the term of the lease.

DO - Shop Around
Your Tenant Rep Broker will show you several office properties that match your criteria. Using the Office Space Checklist, make sure consider all alternatives before selecting your shortlist of properites.

DO - Negotiate Hard
It's your Tenant Rep Broker's job to negotiate the lease on your behalf. They'll usually negotiate several properties to see which one turns out the most favorable. Be clear about what concessions you want included and negotiate hard to achieve these.

DON'T - Do it Yourself
No matter how good a negotiator you consider yourself to be - it's not your job to negotiate your office lease. Enlist the services of a good Tenant Rep Broker who negotiates office leases for a living and will secure you the best outcome.

DON'T - Over Commit
One of the biggest mistakes made by businesses leasing office is to over commit themselves - both in terms of length of lease and the rent, but these only lead to disastrous consequences further down the line.

DON'T - Be Rushed into a Decision
It's a big decision to take on an office lease and you need to make sure you are happy with both the property itself and the lease agreement. Take your time, and don't be pressured into making a decision. If the property you want doesn't go in your favor - be prepared to walk away.

DON'T - Violate your Office Lease
Make sure you follow your tenant obligations and provisions within the lease. This will help you keep on good terms with your landlord and put you in a better position if you are considering renewing the lease at the end of the term.

Find a good Tenant Rep Broker in your market here who can provide invaluable advice and support throughout the leasing office space process.

 

Planning an office move? Go the office relocation planning resource center

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