Questions To Ask When Leasing Office Space

Finding the right office space for your business can feel like navigating through a maze. With so many factors to consider, such as location safety and adequacy of wiring for business needs, making the right choice is critical.

Our comprehensive guide provides key questions you need to ask when leasing an office space, ensuring you cover all bases and make informed decisions. Ready to ease your leasing journey? Let’s dive in!

Key Takeaways

• Clarify what is included in the rent price and what additional fees may be required.
• Ask about available services, amenities, parking availability, floor plan of the space, signage opportunities, and other tenants in the building.
• Consider lease length and flexibility options such as renewal terms and subleasing possibilities.
• Assess potential implications in the event of landlord bankruptcy.

Lease Pricing and Fees

When leasing office space, it is important to clarify what is included in the rent price and what additional fees may be required.

What’s included in the rent price?

The rent price for your office space often includes more than just the cost of occupying the area. It often envelops usual costs such as building maintenance, common area maintenance fees, and janitorial services.

The landlord might also factor in amenities like shared meeting rooms or reception services into the lease pricing. Depending on your lease agreement, you could find that some renovation costs are included, especially if these tenant improvements enhance the property’s value over time.

It’s crucial to note that while these basic costs may be covered under commercial leases, other expenses, such as utilities, usually aren’t part of the deal. Be sure to understand all aspects involved in office space fees before signing a lease contract to prevent surprises.

What isn’t included in the rent price?

Utility bills often fall outside the scope of your monthly commercial lease agreement. Electricity, heating, and lighting expenses are crucial for a functioning workspace. Yet, they rarely land on the list of inclusions in your rental fees.

Additional costs can also crop up in forms beyond utility expenses. Extra charges might be levied for specialized services like cleaning or security. Understanding these potential extra monthly costs is essential before signing any lease agreements for office space.

Financial responsibility for repairs and maintenance

In a typical office space lease agreement, tenants take on the financial liability for repairs and maintenance. This liability comes as part of the triple net lease obligations. These mandatory costs include but are not limited to maintaining structural components such as the roof and parking lot, along with property taxes and insurance premiums.

Businesses must factor these expenses into their budget before signing a lease agreement. Some landlords may offer variations in which they cover some aspects, like major structural issues. Still, more often than not, it falls upon the tenant’s shoulders to handle routine upkeep costs.

Commercial real estate operational expenses can add up quickly if overlooked at first glance during contract negotiations.

Coverage for renter’s insurance

Renters insurance is a crucial consideration when leasing office space. It provides coverage for property damage, theft protection, liability insurance, and even medical expenses for guests.

In addition, it can help cover additional living expenses if you cannot stay in the rented space due to a covered loss. As a tenant, your personal belongings may not be covered by the landlord’s insurance, making renters insurance necessary for protecting your assets.

The good news is that renters insurance is affordable, with an average cost of around $15 per month for up to $30,000 in personal property coverage.

Rent increase over the lease term

Landlords often have the right to raise the rent over the duration of a commercial lease agreement. The specifics and limits of these increases can vary depending on your jurisdiction and the terms outlined in your lease.

Some jurisdictions have rent control laws that limit how much landlords can increase rent, while others may allow for more flexibility. It is important to understand your rights as a tenant when it comes to rent hikes and to carefully review any escalation clauses or provisions in your lease agreement that outline how and when the rent will increase over the term of your lease.

Being aware of these factors can help you plan for potential expenses and make informed decisions about leasing office space.

Office Space and Amenities

When considering leasing office space, it is important to inquire about the available services and amenities, such as parking availability, the floor plan of the space, signage opportunities, and the other tenants in the building.

Available services and amenities

When considering leasing office space, it is important to inquire about the available services and amenities. Asking the right questions will ensure your business has access to the right facilities and resources. Some key questions to ask include:

• What services are provided in the office space?
• Are there any hidden charges or fees for using certain amenities?
• Is there access to public restrooms?
• Is there a commercial kitchen space available for use?

Parking availability

Parking availability is an important consideration when leasing office space. Knowing how many parking spaces are available for employees and customers is crucial. Having onsite parking can make a big difference in the convenience of your business operations.

Consider whether there is enough parking for your needs or if you’ll need to rely on public transportation options nearby.

Floor plan of the space

The floor plan of the office space is a crucial factor to consider when leasing office space. Before signing the lease agreement, asking about the floor plan is essential. The floor plan will determine the layout and arrangement of the space, so it needs to meet your business’s specific needs and requirements.

Consider the number of rooms, room sizes, and overall available space. Make sure that the floor plan aligns with your business goals and allows for efficient use of the space.

Signage opportunities

When leasing office space, it is crucial to consider the signage opportunities available. Having prominent signage can greatly enhance your brand exposure and visibility among potential clients.

By asking about signage availability, you can explore various advertising options and promotional opportunities for your business. This could include display options on the building facade, directory listings, or customized signs within the office premises.

Maximizing your signage opportunities will help boost your marketing efforts and increase brand recognition.

Other tenants in the building

The presence of other tenants in the building is an important factor to consider when leasing office space. You’ll want to know who else shares the building and whether their businesses align with yours.

This can help create a professional and cohesive environment and potential networking opportunities. Additionally, understanding the type of businesses and occupancy level in the building can give you insights into foot traffic and overall appeal.

Evaluating the mix of tenants can also provide a sense of stability and reputation for the property, which may impact your decision to lease there.

Lease Length and Flexibility

Consider the available lease terms, renewal options, subleasing possibilities, and any implications in the event of landlord bankruptcy.

Available lease terms

Commercial lease agreements offer businesses a range of available lease terms to suit their needs. These terms include the duration of the lease, renewal options, subleasing possibilities, and important details about landlord bankruptcy implications.

It’s essential for businesses to carefully consider these factors when searching for office space, as the length and flexibility of the lease term can have a significant impact on their operations.

Whether you’re looking for a short-term lease or a long-term commitment, understanding the available lease terms is crucial in making an informed decision that aligns with your business goals.

Renewal options

Lease renewal options can be an important consideration when leasing office space. These options allow tenants to extend their lease beyond the initial term, providing flexibility and avoiding the hassle of finding new space.

Tenants must understand that lease agreements are typically not automatically renewed on reasonable terms, so it’s important to negotiate renewal terms before the lease expires.

Tenants should also remember that landlords may be more willing to offer favorable terms for longer lease agreements. By considering renewal options and negotiating lease terms, businesses can ensure they have the flexibility and security they need for their office space.

Subleasing possibilities

Subleasing office space offers flexible rental options for businesses. It allows for short-term leasing and customization of the workspace according to specific needs. Businesses can adjust their office space without a long-term commitment or high costs by subleasing.

Subtenants often pay lower rent than they would when leasing directly from the property owner, making it an attractive option for cost savings. However, it’s important to understand that responsibilities for repairs, maintenance, and financial obligations may vary depending on the terms of the sublease agreement.

Additionally, subleasing requires a master lease for the space, and subtenants’ rights depend on its terms. Overall, subleasing provides a temporary and adjustable solution for business workspace needs while potentially offering lower rental costs than traditional leases.

Landlord bankruptcy implications

In the unfortunate event of a landlord declaring bankruptcy, it can have implications for tenants leasing office space. The trustee in charge of the bankruptcy proceedings can reject unexpired real property leases if the landlord is the debtor.

This means that tenants may potentially lose their leased space and need to find alternative accommodations. Therefore, it is crucial for businesses looking to lease office space to assess the risks and benefits of lease security in relation to potential bankruptcy situations.

Conclusion

Asking the right questions when leasing office space is crucial for making an informed decision. By inquiring about safety, wiring capabilities, size requirements, employee commutes, building conditions, and contract details, businesses can ensure they find the perfect space to meet their needs.

Don’t forget to ask about additional hiring needs and clarify rental rates and included amenities.

Office Space For Lease

We have Office Space For Lease in Sterling Heights and in Macomb County. Please contact us by email or call us at (586) 262-6270 , and we’ll be happy to help you find the perfect office space for you and your business.

FAQs

Office Space For Lease in Sterling Heights

Leasing office space from us in Sterling Heights offers a host of benefits, from spectacular views of the lake to ample free parking space and a prime location in the Golden Corridor.

With a variety of office spaces available (see our floor plans), you can find the perfect fit for your business needs.

So, consider leasing office space in Sterling Heights for your next office location and experience these advantages for yourself.

Simply contact us by phone (586) 262-6270 or contact us by email, and we’ll be happy to help you find the perfect office space for you and your business.