From starting a new company to expanding current business operations, there are plenty of reasons to rent an office space. Before signing a commercial lease agreement, there are a few important facts every prospective renter should know about the contract. Understanding rates, terms, and additional requirements now will reduce the likelihood of disagreements with the landlord and additional problems later. 

A Brief Guide to 3 Points You Should Understand About Leasing Office Space 

1. The Monthly Rent Might Not Include Building Operating Costs

Typically, landlords opt for one of three basic pricing structures. With a Triple Net lease, the tenant pays less in base rent to the landlord while covering all additional costs themselves. With a gross lease, the overall monthly rate includes both office space rental costs and building operating fees. When opting for a modified gross lease, the landlord and tenant come to an agreement to split maintenance expenses. 

2. The Lease Should Include Amendments Regarding Expansions & Remodeling 

If you plan to expand or remodel the office space, go over your plans with the landlord. This way, they can include amendments regarding these modifications in the lease. The terms should outline who will pay for the updates and the costs of upkeep. 

3. The Lease Might Require a Personal Guarantee 

Profit decline or a boost in business could result in a company needing to break the lease early to close its doors permanently or look for a bigger space. To protect against this risk, landlords often require commercial tenants provide personal guarantees. If the tenant can’t pay the rent, the guarantor is financially responsible for covering the expenses. 

If you want to build the workplace of your dreams or lease office space in Hastings or Kearney, NE, the professionals at Johnson Imperial Homes will do everything in their power to help. In business for a century, you can trust them to have a commercial space to suit your needs. If you plan to build a new office, they with also provide construction management and commercial land development solutions to make the job easier. To schedule a consultation in Kearney, call (308) 237-5610. Reach out to the Hastings office at (402) 461-4100. Visit the builders online to learn more about leasing opportunities.