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What to consider before you sign a commercial real estate lease

Florida has some of the most beautiful buildings in the nation. If you’re thinking about leasing commercial property in this state, it’s good to know what to expect during this process. You can avoid unwanted surprises by considering these factors before you sign a commercial lease contract.


Depending on where you operate, commercial leases can be expensive. Fortunately, you can avoid choosing an unsatisfactory business lot by researching it. Take things a step further and perform additional research on the building’s owner or company that owns this commercial space. Doing these types of research can uncover previously unknown information about a specific commercial property.

Renting commercial vs residential space

If you’ve ever lived in a rental property, it’s understandable to assume that commercial and residential leases are the same. They’re not. Commercial real estate contracts typically give fewer rights to business owners than residential contracts have for tenants. Also, watch out for a landlord bundling a bunch of hidden costs under taxes, maintenance, and insurance (TMI) expenses. If you suspect this will happen, ask the landlord for a clear explanation of all TMI costs.

Consider negotiating

It’s not often possible for tenants to negotiate rent with their landlord. However, it’s more common for many commercial space landlords to be more open to price negotiations. As long as your offer is somewhat reasonable, the worst thing a landlord can say is no. On the other hand, if they’re not willing to budge, it could be time to consider looking at other properties.

Before signing any commercial real estate lease, there are a few essential things to consider. First, a typical commercial lease lasts multiple years, so be sure the property has everything you could need. Review the contract thoroughly and ask for explanations of unclear terms. Finally, don’t settle for the first property you visit without researching other locations first.