Most business owners will have to lease commercial space at least once during their company's lifetime. This is especially true if you are situated in places like NYC, since the location of your business can either make or break you. But, before you go out looking for a new place to lease, there are a couple of things about leasing commercial real estate in New York that you should be aware of.
One of the more common real estate mistakes is business owners not picking the right commercial space for their business. Due to rushing or not planning properly, they pick the first commercial space that seems fine. After a month or two, they realize that the place they chose is not suited for them. But, at this point, going back is hard, especially if you haven't dealt with your lease properly (which we will cover later on). So, how are you supposed to avoid making this costly mistake?
The first thing we would advise you to do is to start looking on time. By this, we mean that you should start considering different commercial spaces the moment you decide that you are going to move your business. Remember, you are not just looking for a place where you can put your office supplies. You are looking for space where you will spend hours and hours working and developing your business. A place where you can thrive with your employees and Live Better. So, do everyone a favor and start looking as soon as possible. Keep in mind that packing and moving your business will take at least two weeks to deal with according to capitalcitybins.us. So, the more time you can give yourself to move, the better.
Give yourself enough time to find the proper commercial space and to move into it.
It can be hard to give a clear answer to this question since different businesses require different commercial spaces. But, ideally, you want to find a place that is as suited as possible for your particular business. This means that you should pick carefully both the location of your commercial space and its quality. Our advice is to sit down with your employees and carefully consider different layouts for your office space. Once you have an idea of what your commercial space needs, you will have a much easier time finding the right one. And, you should always prioritize well built, easy to maintain commercial spaces as real estate renovations in New York can be quite costly.
Another important part of leasing commercial real estate in New York is the people you choose to help you. Now, it is good practice to make a moving team when moving an established business. Having one is especially useful if you want to keep your business operational while moving it to a different commercial space. A good team will help you with every part of the relocation, like finding packing supplies that aren't expensive or organizing your business. On the other hand, if you are going to lease commercial real estate in order to start a business, you don’t have to worry about forming a moving team. What you should be concerned with is finding a good real estate agent to help you out.
"A good real estate agent will make leasing commercial real estate in New York much easier."
The one thing you will soon learn about leasing commercial real estate in New York is that it is almost impossible to find decent real estate without hiring a real estate agent. And, since traditionally agent fees are paid by the landlord, there is no reason for you not to do so. So, the question remains, which real estate agent to find. Well, our advice is to pick an NYC neighborhood where you would like to situate your business. The proceed to find an NYC real estate agent who is well established in that area. An experienced real estate agent will have their pulse on the local real estate market. This will allow them to provide you with the necessary information when it comes to finding proper commercial real estate. And, they will be especially helpful when it comes to negotiating the price of rent.
Even if you have a good real estate agent by your side, you should consider getting legal counsel. Dealing with landlords is always tricky, especially if you have never leased commercial space before. Even if you learn the real estate terms, there are certain aspects of leasing commercial real estate in New York that you simply aren't aware of. Plus, you will probably have a bunch of stuff to worry about. So, in order to save yourself the headaches, get legal counsel. They will help you set up a lease properly.
The landlords are usually the ones that will present you with a lease. At first glance, it might seem like a standard, no-nonsense contract. But, this is not something that you should judge. Leave it up to your real estate agent and your lawyer to make sure that the contract is solid. Remember that the landlord will try to make the contract suit them. So, make sure to listen to your legal counsel when you get it.
Make sure that you completely understand your lease before you agree to it.
One of the pitfalls new business owners experience is long-term leasing. As it turns out, long-term leasing is mostly beneficial to the landlord. This is why they will offer better benefits the longer you agree to lease. What you need to do is to have your lawyer set up an exit strategy. Remember, NYC is a jungle and you cannot be sure that your business will be profitable until your lease has ended. So, try to have an out strategy, like subletting, termination, or assigning, in case something goes wrong. Make sure that that strategy is written into the lease.
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