Always get to know about your Commercial Space for Rent in Chennai, what services you’re paying for and what is paid for by the landlord. The complete detail about the space you are going to lease and also the services to be fulfilled by the landlord must be mentioned in the lease. Be sure the lease describes the list of services included in the rent such as utilities, heating, electric power, restrooms and maintenance thereof, janitorial services, and any other services you might think that the landlord to give on their nickel.
Build Flexibility into the Lease with Options: Consider having these options in the lease if they relate to your situation: Option to renew; option to purchase; option to terminate; option to expand; and, option to relocate. Each type has its own advantage.
Distinguish between Net Leases and Full-Service Leases: Net leases make the tenant responsible for all expenses of the pro-rata proportion of space they occupy, as if they were the owner. Full Service Leases keep the responsibility upon the Landlord.
Always have a No-compete Clause in a Retail Lease: This prohibits a person or business from operating a nearby business that would compete with one of the parties to the contract.
Right of First Refusal: Unlike the options, this right can only be fulfilled when it is offered by the landlord. A right of first refusal might give a tenant the right to buy the building. Other “rights” include the right to take contiguous space or right to renew.
Know the Difference between Usable Square Feet and Rentable Square Feet: Landlords often quote the square footage of a space in rentable square feet which, in a multitenant building, is higher than the usable square footage due to the core values. Landlords may offer tenant improvement allowances on a usable square footage price per square foot for Office Space in Chennai. When analyzing space alternatives on a quantitative basis, be certain comparisons are using the same type square footage and that spaces are based on the BOMA quality standard of measurement.
Many company owners don’t realize that hiring a tenant rep broker is free due to the built-in brokerage fee paid by the landlord. Essentially, the tenant rep locates the proper space solution, negotiates the ideal terms, and gets paid by the landlord. When it’s time to dust off your lease in three to five years, contact a tenant rep who can serve as your office finder/negotiator to save thousands of dollars.
Get to know Landlord: Frequently, Landlords want either a Personal Guaranty or a hefty-sized security deposit to ensure the performance of the tenant. In today’s market (201-2012), we also need to be concerned about the “credit” of the Landlord-are they going to go “belly up,” or do they have the reserves in place to maintain their property? What happens to your Tenant Improvement Allowance if the Landlord files for bankruptcy? What about the level of service you expected when you signed your lease-how do you maintain this level if the Landlord is under financial stress? These are valid questions, especially when numerous landlords are in default of their loans and lenders are shying away from helping those who are cash-strapped already. Hire an experienced Tenant Rep to guide you to landlords with strong reputations and those with a strong financial history.
Curb Limit Operating Expenses: Curb Limit Operating Expenses to Limit High Rent. Be sure your Office Space for Rent in Chennai payments cover building or retail center operating costs not inappropriate expenses. “I had one client who recently lamented about paying for 1stclass air travel expenses for their landlord to fly from Vermont to Charleston,” said Lee. Avoid having to pay for capital improvements, high executive salaries and markups on utilities. Insist on your right to audit Landlord records.