As more startups and full-blown businesses grow, they find themselves in need of additional space. Yet, they do not know what the future holds, and therefore are not excited at the prospect of buying real estate. Rather, they are much more interested in leasing an office building.
This is typically a great investment — if it’s done right. There are certain things to always be on the lookout for and to take into consideration before signing any sort of contract. Here are a few tips for leasing an office building to make sure your business remains profitable throughout the lease.
If you are looking for a new office space, chances are you have posted some great numbers over the last year or two. Consumers are hungry for your product or service, and you’ve needed to hire more employees to meet the demand. Before you sign a lease for a new office building, take a step back and really analyze your company and the market.
This can reveal either a positive or negative future. If you and your analysts realize this growth will plateau soon, you do not want to get a massive office that you will only use half of. In addition, a smaller office building is typically cheaper than a larger one. However, if you are projecting huge growth into new markets, you don’t want to be strapped into a long lease. Get the size and lease duration appropriate for your business.
Know Thy Landlord
Different landlords operate differently when it comes to aspects such as security deposits and concessions. Before leasing an office building, have a meeting with them so you know what to expect. Many landlords won’t offer much leeway on your security deposit, as this is often a main source of revenue. In addition, ask what sort of concessions are available. Perhaps they will install new carpet or make some “green” renovations before you move in. You’ll never know unless you ask.
Of course, horror stories abound regarding nightmarish landlords. This does not just include treating tenants badly. It also includes building owners who find themselves financially unable to maintain their space and either fold or, worse, disappear. Be sure to run a background check on your landlord and ensure they are stable before leasing an office building.
Know Thy Agent
One of the best ways to find a great office building with the amenities and at the price you need is to hire a real estate agent. While you may have been researching different buildings for a month, an agent will be intimately familiar with the offerings on the market due to years of research and practice. In addition, they know how to negotiate with landlords to get the concessions you require.
While you can simply tell your agent what you want and have them look for it, the process works better if you develop a relationship with them. That way, your agent can be on the lookout for offers you yourself may not have known you wanted or needed. If you are considering leasing an office building in the Las Vegas area for your growing business, take a look at our recent listings or contact our knowledgeable professionals at First Federal Realty DeSimone, at 702-990-8660, to get started!