Commercial Property in Overland Park, KS: 6 Leasing Mistakes to Avoid
Leasing commercial property in Overland Park, KS, can be a big financial risk – one that is necessary and worthwhile, but one that can have serious and lasting consequences if not done properly. Research and planning are key above all else, but here are a few common leasing mistakes that tenants make to learn from as you start your own search for an office, as detailed in the article “10 Leasing Mistakes Office Tenants Commonly Make”:
#1 Going into leasing without a plan.
If you don’t have a good idea of your company’s space needs, you need to hit the breaks on you leasing process. Before you even begin to look at offices, have some hard numbers for what you need – square footage per employee, projected growth and the need for space that goes along with it, and what kind of space you want. Do you need open space with cubicles? A few conference rooms? An impressive reception area? These are all questions you should have a firm answer to before you look for a new space.
Make sure you also have a solid business plan in place, particularly if you are a new business leasing space for the first time. A lot of landlords will want to see your financial history or at the very least a professional and fact-based business plan as reassurance that you will be a reliable tenant.
#2 Not working with experts.
At all stages of the process of acquiring a new Kansas City office space for rent, it is important to speak expert help. This includes talking to a real estate broker, a legal representative who will represent your interests as a tenant, and an architect to help you plan for any modifications you need to make to a space. It’s tempting to cut corners and do things yourself, but if you are not an expert in any of these fields, you could be causing bigger financial complications for your business down the line.
#3 Not considering lease termination possibilities.
It’s strange to think about upfront as you are just starting out in a space, but you need to consider exit strategies before you ever sign a lease. This is particularly important for new businesses, who cannot afford to take a serious financial hit by paying rent during a rough patch. Terminating a lease is never good, but work with experts and negotiate with your landlord to try to mitigate consequences as much as possible. This requires some give and take, but most landlords are willing to allow for some kinds of relief possibilities, such as subleasing or reassignment, in the event that your business cannot afford the space.
#4 Not factoring in growth and the need to expand.
It was mentioned in the need for a plan before leasing, but it bears repeating: think about what your projected growth is and how much space your business might need in the next few years. It’s a risk to rent more space than you need, but being trapped in an office that is too small and does not allow you to develop can be just as detrimental to your business. Talk to your landlord about the possibility of expanding into other available spaces on the property if it becomes necessary, and try to opt for shorter lease terms with options to renew so you can consider after just a few years whether you have outgrown your space.
#5 Waiting too long for negotiations and a losing good offer.
Don’t leave negotiations until the last minute. These are so important, and you should not allow yourself to become set on a space until you are sure you can negotiate for favorable terms for your business – and the longer you wait, the more leverage the landlord has.
In addition, while you want to give yourself plenty of time to compare spaces and be prepared to walk away from an offer that is less than ideal, don’t wait too long on something you know is a great opportunity. If you find something good, hesitating too long could mean that you lose the opportunity to someone else, and then you are back to square one.
#6 Considering only the finances.
While budget is one of your most important factors, and you have to be prepared to walk away from even a dream space if it is way out of your price range, there are other factors to consider as well, such as the location of the space and the incentives a landlord is willing to offer. Remember that the most affordable office does you no good if your location will not attract new clients or your staff is unwilling to commute, so give yourself a price range to work within and then let yourself consider other merits of various spaces.
If you are starting the process of finding an office space for lease in Overland Park, KS, don’t fall into these common pitfalls!
Interested in commercial office space for rent in Overland Park, KS? Give us a call at 913-685-4100 to learn more about our available offices spaces for rent in Overland Park, KS!