Time to find a new location for your company. You start by giving the broker the current space you have and then telling them you need to double that space, but is that really accurate?
Read all of How much space AM I getting???
...that is the question? Well it can be fairly easy to answer or fairly complicated depending on the scenario, tenants needs, long term projections for the company, and more.
Read all of To lease or not to lease...
I have a new Landlord who has listed her property with me and the marketing has begun. Now, amidst these challenging times, the property has sat on the market for almost a year. The first full price offer we get is from a Psychic! Well she has had a past tenant who has created some issues over the years. That tenant is a funeral home. Needless to say, adding a psychic to her already troubled tenant of a funeral home was not something she wanted to do.
I think she made the right decision. Morale of the story? Don't just take the money when you get a tenant. If possible (financially speaking) take a step back and try to look at the long term picture, you know, from 10,000 feet. This property could easily have been used more retail oriented, and gotten higher rents had she not put the funeral home in. Oh, and BTW, make sure to enlist the help of a professional commercial real estate broker. Had she done that first, she might have been in a better place today...
Full Service:
This is a lease that the price quoted should include all base rent, CAM, inside suite janitorial, utilities, maintenance, parking, building insurance, property taxes, etc. In other words, you pay this price and that's all. The landlord maintains the entire property, and the company can do their work without worrying about facility issues.
Modified Gross:
This will be a price that covers only the base rent, CAM, building insurance, and property taxes. Tenant shall pay separate for inside suite janitorial, maintenance, parking, utilities, These extra expenses can run from $4.50 per sf and up depending on negotiated items.
In either scenario tenant typically pays all costs associated with IT/phone service, connections and wiring.
These are definitions based on our local market, but are fairly standard throughout the industry. Make sure you agent is explaining exactly what you are getting in the deal. Understanding the actual expenses in your transaction can be imperative and these can often be miss construed when presented to the potential tenant/client.
