Commercial leases are standard when it comes to renting space for business. Unlike residential leases, commercial leases come with a lot of terms and clauses. If you have never made a commercial contract before, you might need the services of a lawyer to understand the terms.
Since renting commercial buildings involve a lot of money, it is essential to make sure that you do it in the right way. You need to do proper research to make sure that you are getting value for your money. Here are some features that make commercial leases different residential leases:
Terms of The Contract
When it comes to a commercial property, the terms of the contract are quite detailed. You will realize that most of the commercial property leases will include aspects like who will be responsible for upgrades and other specified terms. For instance, you need to understand what is NNN before you rent commercial property. A residential lease will come with terms, but most of the terms are quite general.
Protection rights for Tenants
Unlike residential leases, you expect less protection from commercial leases. For residential leases, the consumer is protected to make sure that their rights and money are protected. The case is different for commercial leases, and that is why it is advisable to make sure that you have a lawyer.
A good lawyer will protect your interest to make sure that you are not exploited. The standard residential leases are rather straightforward, and in case of anything, you can be sure that consumer rights will take care of aspects like a security deposit.
One thing that you will realize about commercial leasing is the fact that it is long term. Most of the residential leases can last up to one year, and most of them are less than five years. These are short term leases common to most of the residential areas.
However, once you start leasing commercial property, you will realize that it is a little bit different, most of the leases have a minimum of five years, and they are binding.
Subject to Negotiation
One of the main advantages of commercial leases is the fact that they are negotiable. Once you get the lease agreement that is not the end of it. It is still possible to negotiate so that you get the best deal possible.
When negotiating to make sure that you put some of your needs into consideration, with excellent negotiation, you can always get a commercial lease that is ideal for your needs.