If you are not completely sure of what every term in your lease means, you still have more work to do before you sign. It is important to understand what you are getting yourself into, because misunderstandings in your lease could prove costly to your business down the road. Research or seek clarification from an attorney if you have questions about what some of the terms in your lease mean. Here are a few final leasing “red flags” —bad news leasing terms that you should be watching out for:
- Triple Net Leases – In a Triple Net Lease, a tenant is required not only to pay for rent, but also for the landlord’s taxes, insurance, and maintenance fees. Triple Net Leases always favor the landlord.
- Vague or Unrestricted Fees: Sometimes landlords might try to make tenants responsible for the direct expenses of large common area maintenance (CAM) and repairs. It might be wise to make sure that any CAM fees you need to pay are specifically addressed in your lease. Tenants should not have to pay “unanticipated” increases in expenses or “occasional” expenses, such as major renovations or repairs (i.e. a collapsed roof), a landlord’s unexpected tax bill, landlord or property management staff salaries, or contractor fees.
Knowing what kind of problem terms to look for in a lease is a good step towards ensuring that your business will not run into any lease issues during the duration of your time in a space.
If you would like to learn more about available commercial space for rent in Overland Park, give a DDI Commercial real estate broker in Overland Park a call at 913-685-4100!