Most people have gone through a move -- be it to a college dorm room, an apartment or a home. The complexity of a move, however, is multiplied immeasurably when you're a business faced with the requirements of a corporate lease.
Whenever corporate tenants consider a new lease -- whether they are looking to increase or decrease in size or to relocate space -- there are a number of items that require careful attention. A commercial real estate advisor (CREA), as myself, can act as an outsourced real estate department, guiding a tenant through the leasing process while saving them time, money and most important, sanity.
A CREA with commercial real estate and corporate expertise can act as a tenant's advocate, while also understanding the landlord's point of view. This helps the leasing process move as smoothly as possible. Addressing critical issues at the time a lease is being reviewed, a CREA looks at variables such as space size, location, price terms, operating expenses, signage, parking, expansion, length of lease, and a plethora of additional items.
Acting as a third party, the CREA can locate the best property and, negotiating on behalf of the tenant, ensure the lease meets the tenant's immediate and long-term needs while meeting the landlord's expectations, thus creating the most cost effective, strategically correct transaction available at that time.
Tenants should contact their CREA eight months to one year prior to the time their current lease term ends and evaluate the tenant's needs as they pertain to their business and the market, including space requirements, time lines, and market conditions. This also is a good time to strategize the potential, numerous seen and unforeseen facets of the transaction.
Prior to one piece of furniture being moved or a new lease being signed, every tenant should sit down with their CREA to discuss the current lease, and then create a lease abstract of the existing lease. This document should be a condensed lease analysis, which outlines critical dates, terms and conditions that are currently in place. This will provide both the tenant and CREA the ability to discuss appropriate terms and conditions necessary for the tenant to move forward into their next lease or lease extension.
Most business owners are so busy running their businesses that they forget the actual terms and conditions of their lease after full execution of the lease and the lease term has commenced. To have a successful operating strategy, it is vital to think ahead, realizing that every lease has a finite end.
GVA IPC Commercial Real Estate can help with renewing a lease, finding a new space in a new building, or any corporate move. Utilizing a CREA as a your real estate advisory partner will ensure the most strategically correct and cost effective transaction that will save you a lot of time, money, and stress.
Founded in 1975, GVA IPC has the distinction of being one of the oldest locally owned commercial brokerage firms and fastest growing businesses in San Diego County. For more information contact Jeffrey Chasan at (858) 450-3000, or e-mail at firstname.lastname@example.org.
Submitted by Jeffrey Chasan, Commercial Real Estate Advisor and executive vice president with GVA IPC Commercial Real Estate