Office Leasing: Blend and Extend
Today we will talk about a strategy used by companies that are thinking about ways to alter their real estate obligations based upon a change in the market or a change in their own business. To start with the term “blend and extend” refers to an extension of an existing lease for your office space, […]
10 Lease Commandments
You may not know this about me, but I love hip-hop. It started at an early age, at 5 years old, watching Soul Train on Channel 11. I was introduced to U.T.F.O a few years later and even remember watching breakdancing movies in second and third grade at an assembly. In fact, the first album I bought […]
Percent Increases vs. Direct Operating
I talk a lot about knowing your numbers when it comes to your real estate. A main component of this is the operating expense. You have the base rent amount, and then there is “additional rent.” As a tenant in an office building, you are responsible for contributing to the ongoing operating expenses of the […]
There are so many different costs associated with an office lease outside of the base rent. Many of these can add up to real dollars! It is important to know what is going into your office lease. This is for two reasons: 1) so that you can make an apples-to-apples comparison when considering the space that works for you 2) to understand what your costs are upfront so there are no surprises once you have signed a lease.
Today I want to address electricity because if negotiated incorrectly, it could be a profit center for the landlord. There are going to be situations where some of these are not available, but it’s better to be an educated consumer and ask, rather than assume what is proposed to you is the only option.
There are three options for electricity. These include ERIF, Submetering, and Direct Metering — only one of these is not a moneymaker for your landlord. So, let’s get into it.
5 Biggest Mistakes Tenants Make When Renewing an Office Lease
Now more than ever, tenants are choosing to renew, rather than relocate, their offices. The mistake that many companies make is that they think renewal is not a negotiation. At its core, your lease is a financial commitment that your company is making. It is your right to negotiate the critical financial terms because they […]
3 Ways to Save Your Business If Your Lease is Crushing You
It is heartbreaking when you get that call from a client or friend who has Manhattan office space and the call goes something like this: “I absolutely love my office. But I am the only one who is using it right now? My employees do not feel comfortable coming back at the moment, but I […]