Available commercial real estate building

Is There a Better Time of Year to Enter Into a New Lease?

If you have a business with a commercial lease for office space or production space, you should be considering entering into a new lease as soon as nine months before the expiration date of your current lease. In Colorado Springs, that means you should evaluate whether or not you intend to negotiate a new lease with your current realtor, or if you feel more favorable terms might be offered elsewhere. Before you do that, it would be to your advantage to hire representation so that you can obtain the best terms possible.

Your representative should carefully review your current lease terms, so you know exactly what you have now, and whether they are conditions you can continue living with. Understanding my lease should be important to you, and understanding the terms of my lease will prepare you to negotiate those conditions which need improvement, or must be more advantageous to your business. The main thing to remember is that when entering into a new commercial lease or continuing an existing one, you are entitled to representation and to negotiate all terms of the lease.

Entering into a new lease 

If you have a commercial retail business, the best time of year to enter into a new lease is in September or October, i.e. a few months prior to the busiest retail shopping time of year. That will give you time to move in, get situated, and be prepared to maximize your seasonal profitability. If you’re in the healthcare industry, the advantage of entering into a new lease toward the end of a year means it will also expire toward the end of a year. That will mean you can look for a new facility to start a new calendar year, if the current leasing arrangement doesn’t work out optimally for you.

How to approach the new lease 

First of all, make sure you have an expert commercial realtor in your corner, so your best interests can be represented, and so you don’t get railroaded into signing something you’ll regret later. Compare the lease terms to prevailing market leases, so you’ll know if it’s in line with other commercial leases. Have a thorough review with your broker, so he/she understands your objectives and what would be important to you in terms of specific lease conditions. Work with your broker to identify the top options in Denver, Colorado and elsewhere, if location is a flexible point for you. Once your broker knows exactly what you’re looking for, trust your representative to negotiate all the terms of the lease agreement that will make the deal favorable for you.