Common Questions & Answers for Tenants
Running a business is nearly impossible without the right space. Commercial real estate encompasses a number of different types of buildings, including retail space and office space. While businesses might discover that finding a property is easy, they often have problems learning what questions they should ask before signing on the dotted line.
What is the Cost Per Square Foot?
When shopping for commercial real estate, leasers should look at the cost of the property in terms of square foot. Those who own commercial real estate can list properties according to the cost of renting the building or the cost per square foot. Those who rent on a square footage basis often give tenants the choice of renting a larger or smaller amount of space, while set price landlords only offer a certain amount of space.
What is a Leasing Agent?
A leasing agent is someone who works with the building owner and lists properties from multiple owners. Leasing agents typically look out for landlords and act as a go between, answering questions that tenants have and finding proper tenants for landlords.
What is a Tenant Representative?
While a leasing agent works closely with a landlord, a tenant representative looks out for the interests of the tenant. A tenant representative ensures that the tenant finds the best property at the best price. Knowing the difference between these two positions is especially important for those new to the world of commercial real estate. A tenant representative can work as a leasing agent too, while others focus on one specific side. Austin Office Solutions focuses solely on representing the tenant.
What are the Lease Terms?
Tenants should always ask questions about the lease terms, including whether the landlord includes the cost of utilities in the price and any late fees charged on the account. Landlords can set the terms of the lease carefully as long as they follow any laws in the state. A landlord can list eviction terms that state any one missed payment or late payment can lead to eviction, and landlords can also determine how tenants can advertise or use the space.
Is There an Opt Out Option?
Anyone who leases commercial real estate should check the lease for an opt out option. Opting out of a lease gives the tenant the chance to end the lease early, but landlords often charge a fee for canceling the lease early.
Those leasing or subleasing commercial real estate should ask a few questions before signing any paperwork.