6 Essential Questions To Ask Before Signing A Lease for Commercial Office Space for Rent in Overland Park, KS
When you are looking for Kansas office space for rent you will most likely spend a lot of time signing and negotiating your lease. This has the potential to can be a tiresome experience with delays, problems and long negotiations, but this process is normal and can be navigated successfully. So when you are finalizing your lease for your commercial office space for rent in Overland Park KS don’t worry! Just ask these six questions, as outlined in the article “10 Questions to Ask Before Signing a Commercial Lease,” which will make the signing process a little simpler:
- Do you understand what the lease is saying?
This first one might seem like a simple thing, but it may be the difference between having a good space and a great space. This point is to make sure you understand the terminology used in the lease. A few words, like Common Area Maintenance, appear in acronym form: CAM. This number is based on the percentage of the building you are renting. There are a several other terms and phrases that are important and you should know about before signing your lease, so make sure that you read up on the terminology before entering negotiations.
- Are you getting the best deal available?
Once you know most of the terms and phrases in the lease, look it over once more and maybe negotiate further. Is everything okay and ready to go? Does the lease address all of your concerns? What would you like to add or take away from the lease? It’s a good idea to address these things before you sign the lease, because once you’re committed you cannot change these issues.
- Is your business organized and ready to go?
Organization is an essential key to any good business; so before you sign the lease make sure you know what you need to do right from the start. Go over the lease, have everything in place and know what needs to be started or taken care of before you start you open your doors—ranging from moving arrangements, to your budget for this space, to a business plan you can show the landlord to reassure them that you’re a reliable tenant. Also, it is advised that you have either Articles of Incorporation or Articles of Organization filed for an LLC back from the Security of State before things get going.
- Have you read the lease agreement?
Yes, you should read every word of the lease before signing it. It can be a very long and not very interesting litany of technical jargon, but it is an important document for your business. It’s a good idea not to assume that everything is included; so make sure check everything from the starting date, to rent escalation to any other special terms you negotiated before putting down your signature.
- Do you need a personal guarantee?
Most places probably won’t let you sign the lease without a personal guarantee, which essentially means that you are personally liable for upholding the terms on the lease. Of course this is negotiable, and you could either negotiate for a shorter period in which the guarantee is in place, or perhaps even a guarantee for half the time from when you terminate the lease.
- What do you need to be responsible for?
Most leases will include a term called Capital Expenditures within the document. This usually means that you as the tenant are responsible for certain things that may need to be fixed in the building. These types of things can differ greatly from property to property and city to city. However, it is wise for a tenant to negotiate for the removal of terms that require you’re your business to take the majority of the repair costs yourself.
In the end, it is a good idea when looking for commercial real estate in Overland Park to be realistic with your negotiations. Someone who is leasing 5% of a larger property will have a completely different experience with the process than a person who is trying to rent out 70%. While there are certain variables you can’t control, you can prepare yourself to get the best possible deal by researching and studying up on what you can influence before entering negotiations.