office space lease Overland Park | Southcreek

3 Things You Should Know About an Office Space Lease in Overland Park

The commercial real estate leasing process can be very detail-oriented. Here are a few things to be aware of when you enter lease negotiations, as suggested in the article “Commercial Real Estate: What You Need to Know Before Leasing”:

Beware of the first draft. Know that the first copy of a lease that a landlord gives you will be full of terms that are much more favorable to them. The landlord does this hoping that you as a tenant will sign this first copy without putting up a fight. However, you need to enter negotiations knowing that the lease you will receive is not standardized—many of the clauses in it are up for negotiation, and you can potentially get a lease to a point where it is fair to both parties.
Personal guarantees. You will most likely have to sign a personal guarantee when renting a space, which means that you are personally liable for rent in the event that your business cannot pay. A landlord will also probably want to check on your personal finances to make sure that you can follow through with this. Note that landlords usually only care about this until you have established your trustworthiness as a tenant, so you might be able to negotiate to end the personal guarantee after a few years.
Commercial lease pricing. While your rental rate is going to be quoted on a per square foot basis, know the difference between usuable square footage—the office space you will actually use—versus the rentable square footage—the rate you will be charged for that also includes common spaces in the building.

Be ready to be a strong negotiator by doing your homework on commercial leases!

If you are interested in office space in Overland Park, KS, give a commercial real estate broker in Overland Park a call at 913-685-4100!

3 Things to Use to Your Advantage in Negotiations for an Office Space Lease in Overland Park

Even if you have never negotiated a lease before, you can still go into the process prepared to fight for the best deal possible. Here are three things that you can make work to your advantage in negotiations with a landlord, as suggested in the article “Office Space Leasing Tips”:

#1 Research

Enter negotiations armed with plenty of information about the real estate market. Most building owners you will be approaching deal with real estate on an everyday basis, so be prepared for them to know more than you. Close this gap by doing plenty of research, or hiring a commercial real estate broker or attorney to help.

#2 Time

Start looking for space as early as possible. Keeping an eye on landlords’ vacancies can give you a lot of information about how desperately they need to lease a space. You also want to pursue multiple properties, rather than getting wrapped up in one, just in case that deal falls through.

#3 Financial Status

If you are coming from a strong financial position, you have some power in negotiations, as landlords are looking for tenants who have good credit. Have plenty of documentation of your good financial standing prepared in advance to show to the landlord in order to make a strong impression.

Be aware of the leverage you have in negotiations and do not be afraid to use it!

If you are interested in executive office rental in Overland Park, give a commercial real estate broker in Overland Park a call at 913-685-4100!

Five Avoidable Mistakes That Can Hurt Your Office Space Lease in Overland Park

Leasing can be a complicated process, and it can be easy for an inexperienced lessee to find themselves in a bad lease because they were not aware of the mistakes they were making. Here are five mistakes to be wary of as you navigate the commercial leasing process, as suggested in the article “The Eight Mistakes Tenants Make When Leasing Office Space”:

Weak Negotiations. Sometimes tenants think that what the landlords puts in a lease is immutable, but this is not necessarily true. The landlord’s priority is to fill spaces in the building, which means that he or she will negotiate and concede to tenants if they have to. Even small businesses looking to only rent a tiny piece of the building have power in a real estate market in which a lot of commercial rental buildings are comprised of many small tenants. So be aware that you have more leverage than you think and be tough in your negotiations.
Not Reviewing the Lease. This seems like a basic step, but many tenants either do not read the lease carefully or do not fully understand everything that is in the lease. Be aware of things like notice periods and sublet and assignment provisions. Make sure these parts of the lease are fair to your business.
Not Using Representation. Using a broker to represent the interests of your business can be hugely beneficial to you in the long run, despite the short term cost. Brokers understand the market and how to negotiate for a space. They can help you find a building that best fits your business and help you negotiate a lease that will be good for your business. Sometimes trying to go without this expertise can put your business in a position where you need to end a lease early—which is not a good thing. Consider hiring someone who truly understands the complicated world of commercial real estate.
Hiring a Broker Loyal to the Landlord. Be wary of using a broker that represents both tenant and landlord, which is how brokers at big real estate companies often work. The appeal of these brokers is that they understand the leasing process from both sides, but they often tend to side with the landlord over the small tenant, so choose carefully when you are looking for someone to fight for your business’s best interests.
Not Leaving Enough Moving Time. If your business has never moved before, you might have no idea how long it will take to pack up and relocate to a new space. Often tenants underestimate how much work this process is, and they do not leave themselves enough time to either find a new space or renew their current lease. It could take up to a year to work through the leasing process, or even more than that if you are a big company. Start the process well in advance so that you have plenty of time to find a good deal and move if you need to.

Educate yourself on the leasing process to avoid these mistakes!

If you are interested in office space for rent in Kansas City, give one of our commercial real estate brokers in Kansas City a call at 913-685-4100!

3 Tips for Improving Your Business’s Customer Service in Your Overland Park Office Space

Here are a few simple tips that can help your business improve your customer service and build a positive rapport with your clients, according to the article, “5 Ways Small Businesses Can Boost Their Customer Service“.

Respond Promptly. It is important to respond to clients’ requests and concerns as quickly as possible to make them feel they are being heard. Even when you do not have an answer for them at the moment, sending them a brief note explaining that you are looking for an answer and when you expect to have it for them can reassure the client that their needs are important to your business.
Go Above and Beyond. It seems that so often people dread working with a business’s customer service department as an unpleasant experience. Prove to your clients that your business really wants to help them by being friendly, working diligently, and keeping them updated. In addition, if a client asks you to do something you would not normally do for them, consider taking the time to do it. Take it as a compliment that they trust you to help them.
Acknowledge Mistakes. Take responsibility for mistakes you made with a client and let them know how you will fix them or what your new plan of action is.

Taking simple steps to improve your customer service can lead to more positive feedback from your clients!

If your business is interested in moving to an office space in Kansas, give us a call at 913-685-4100 to set up a tour of an office space for lease in Overland Park!

Extra Expenses to Watch Out for in Your Office Space Lease in Overland Park

Do not think that the cost of your office space stops at just the rent. There are almost always extra expenses, depending on your type of lease, so be aware of the financial commitment you are getting yourself into. Here are a few things to be aware of, as described in the article, “How to Get a Good Deal on a Lease“:

General Expenses

Landlords will typically try to pass on extra costs to tenants, including the financial burden of taxes, insurance, and general operating expenses.

CAM

One type of operating expense that landlords will hold you responsible for is Common Area Maintenance (CAM). The cost of maintaining these spaces is divided up among tenants usually based on their share of the total space. These spaces usually include the lobby, parking lot, stairwells, and restrooms.

Repairs

In addition to general maintenance, landlords usually try to put the cost of repairs (besides ones to the roof, parking lot, or exterior walls) on tenants. This could include repairing heating and cooling systems, which is a big financial burden, so be sure to investigate what repairs you are responsible for and the state of equipment in your space before signing the lease.

Be aware of how much you will be paying in added expenses before committing to a lease!

If you are interested in office rental space in Kansas City, give Kathy Woodward at DDI Commercial a call at 913-685-4100!

Comparing Responses to a Proposal for an Office Space Lease in Overland Park: Part III

When you are first starting to look at offices spaces, it is important to compare several potential spaces on the basis of rent, lease terms, potential improvements, and other core factors that are important to your business. Here are a few final points of comparison to think about, as described in the article “Proposal Responses”:

Effective Rent. The effective rent rate can be found by taking the average of all of the years of rent during your lease term with any free periods factored in. Sometimes different landlords use different rent structure, so by figuring out the annual cost for each response, you can more effectively compare the bottom line rental rate.
Other Needs. Each business has different preferences for what they want in a space. Make a checklist of things that your business absolutely must have, and compare what spaces meet these needs. No matter how tempting a space might be, if it does not meet the essential requirements you laid out, it is wise to be able to walk away.

Take some time to make a checklist of things that are important to your business so that you have a set of objective criteria when looking over responses!

If your business is interested in learning more about office rental space in Overland Park, give us a call at 913-685-4100 to learn more about our available affordable office space in Overland Park!

Comparing Responses to a Proposal for an Office Space Lease in Overland Park: Part II

When you are in the initial phases of finding a new office space for your business, it is important to give yourself options. Once you have written proposals to a number of landlords, take some time to compare their responses to gather some objective data on how the different spaces meet your needs and fit in your budget. Here are a few more points of comparison, as suggested in the article, Proposal Responses:

Lease Length. It is important to consider how long you would like to lease a space and what kind of clauses in the lease landlords are suggesting. If you are a growing business, you will want to look for options that allow you to begin with a short lease term with options to renew or possibly expand into surrounding space.
Operating Expense Histories. You can glean some useful information about a potential space by asking for a three year history of their operating expenses. Unless there have been obvious issues such as increases in energy costs, insurance issues, or maintenance contract negotiations, a well-well run and stable business should have pretty consistent operating expenses from year to year.

Take some time to evaluate your responses objectively before you move forward in choosing a space!

If your business is interested in commercial space for rent in Overland Park, give Kathy Woodward at DDI Commercial a call at 913-685-4100.

Comparing Responses to a Proposal for an Office Space Lease in Overland Park

After finding potential spaces, submitting initial proposals, and receiving responses, the next step in leasing an office space is to compare the responses to proposals. Here are a few points of comparison you might want to consider as you move forward with your proposals, as suggested in the CityFeet article Proposal Responses:

Rental Rate. You will want to calculate your rental costs based on both the rentable square feet in a space and usable square footage. To calculate rent based on usable square footage, subtract the load factor from rentable square feet.
Improvements. If you are planning on making any improvements to a space, you will want to look at the cost to you versus what the landlord will finance. Sometimes owners will cover some or all tenant improvements, whereas others require you to pay for the changes yourself. Compare the improvements different spaces need along with offers of financial assistance from landlords in your responses to determine the most cost-efficient options.

Take your time to objectively evaluate different spaces based on essential points of comparison. You will want to collect this measurable data to help shape your decision before you get attached to any one space.

If you are interested in finding an office space for rent in Overland Park, give a commercial real estate broker in Overland Park a call at 913-685-4100!

Six Tips for Successfully Negotiating an Office Space Lease in Overland Park: Part III

Here are a few final steps for preparing for productive lease negotiations:

#5 Try to Build in Clauses to Protect Your Business

In order to protect you business interests and investment in the long term, consider trying for some additional clauses to the lease that would favor your business. Here are a few examples:

Subleasing options – In case your business plans change, you might want the option of subletting your space to another business.
Co-tenancy – If a property has an anchor tenant and that tenant chooses to leave unexpectedly, this clause can help protect you from losing customer traffic by stipulating that the landlord must find a replacement tenant in a specified amount of time, or you are allowed to break your lease.
Exclusivity clause – This clause prevents a landlord from leasing property to another business that is in direct competition with yours.

#6 Defaulting

Businesses are often shut down because of defaulting on their lease. Avoid this by knowing what you have agreed to upfront. Find out whether you will be locked out immediately, if you can negotiate for more time, and if you could be released from paying rent for the entire term and instead just pay for that month.

These tips are a good place to start if you are not sure how to proceed with your lease negotiations. A little research and advanced preparation can have a big impact on your tenancy in a space!

If your business is interested in commercial space for lease in Overland Park, give us a call at 913-685-4100 to find out more about our available Overland Park office space!

Six Tips for Successfully Negotiating an Office Space Lease in Overland Park: Part II

Feeling daunted by the prospect of negotiating your commercial lease? Even if this is your first time or you have not had to do this in a while, you can still enter negotiations prepared by familiarizing yourself with how the leases work and a few negotiation basics. Here are some tips for negotiating a successful commercial lease:

#3 Maintenance and Repair Responsibilities

In residential leases, the landlord typically takes care of maintenance and upkeep, but in commercial leases this is not the case. Some commercial leases state that the tenant is responsible for all aspects of property repairs and upkeep, while others might stipulate that the tenant has to be responsible for a few systems such as plumbing, air conditioning, etc. Check your lease to make sure you know who is responsible for these expenses and if there is a dollar limit on how much you as a tenant have to pay for these things. It might be worth consulting an attorney to clarify your rights.

#4 Carefully Review Your Lease

Though obvious, it is worth saying—read your lease closely. You might even consider hiring a commercial real estate attorney to help you look at the fine print.

Knowing a little bit about how to navigate commercial leases can help save your business from unexpected real estate rental pitfalls.

If your business is looking for executive office rental in Overland Park, give a commercial real estate broker in Overland Park a call at 913-685-4100!