When you need a commercial lease, you want to make sure you get one that’s going to be fair to you. If you’re not sure about the terms, though, you could end up agreeing to something that’s not in your best interest.
Fortunately, there are ways to get the help you need to understand a lease before you sign it. That can mean a much better opportunity to get your business off the ground and make it into something great. There are three main areas where people can really get into trouble when signing a commercial lease.
Not Reviewing the Repair Obligations
It’s very important that you look to see what kinds of repairs you’re agreeing to make. If they seem excessive or out of line with the length of your lease or what you expected to do to the property, don’t sign until you’ve gotten some legal advice. Some landlords will try to put too many costs onto the shoulders of the tenant, and you don’t want to bear the financial burden of those things. Be sure to look for repair requirements and read them carefully before you sign the lease. If there’s anything you don’t understand, get clarification. Taking that time before signing the lease can be well worth the effort required.
Not Understanding the Landlord’s Relocation Rights
If the landlord has the right to move you somewhere else in the building to accommodate another tenant, you want to know where you can be moved to and whether you’ll be compensated for the cost of moving. Locations you can be moved to should be limited, and the landlord should pay the cost of moving you to the other location if it becomes necessary. If a landlord won’t agree to those things, you may want to consider a different property instead.
Damage Provisions for Breaches to the Lease
There’s nothing wrong with a landlord asking for reasonable damages if the lease is breached, so that landlord can be made whole. Still, it’s very important to understand what is reasonable. Making the landlord better than whole isn’t something you should agree to, because it could have you paying much more out of pocket than should be necessary. Instead, you may want to negotiate with the landlord so they are treated fairly if there is a breach, but so you’re not taken advantage of as a commercial tenant.
Before you sign a contract with a landlord, talk to an attorney. An experienced lawyer can help you get a commercial lease that’s right for you, and that’s fairly negotiated. Your attorney can also make sure you understand everything you’re agreeing to. Then you’ll have peace of mind when it comes to your lease, so you can enjoy your new business and location.