Commercial leases are a popular choice for business owners across the nation. They’re available in various locations and provide the office space you need without the responsibility of owning a building. However, if you have never made use of a commercial lease, then there are four basic facts you should be aware of before signing any documents.

4 Basic Facts About Commercial Leases

1. They Have Longer Terms

Commercial leases are usually set for longer terms. This is so businesses can have the stability of a constant work environment and landlords can enjoy a steady income without having to renew the contract every year. In some instances, a shorter term may be negotiated. But, since this option isn’t available at every location, you should determine that it’s offered if it’s something that interests you.

2. Rent Increases Are Common

Most office rentals include an annual increase in costs. This could be a set percentage or an amount that’s determined by an annual review. Generally, landlords will discuss this change with their clients at the time of agreement so that they can make an informed decision on whether or not they can afford the space.  

3. You’re Responsible for Fixtures

If you’re a retail company and need the building to be equipped with a certain number of lights, cash registers, and fitting rooms, then it’s your responsibility to pay for it. Some landlords may cover some of the cost, but it’s solely on you to ensure the area has everything you need to do business. Then, once you’ve finished your lease and are ready to leave, the space has to be restored to its original condition for the next tenant.

4. Building Use Is Limited

The building can’t be used for anything other than what’s stated in the lease. If you think you might need to incorporate a warehouse or distribution area at some point, then make sure it gets put down in writing. This will allow your business the opportunity to grow without being limited by restrictions within the lease.

If you’re interested in renting a commercial space within Lexington, KY, then connect with the property management team at Winmar Corporation. These professionals have specialized in office rentals since 1951 and have become recognized for their vast selection of properties. They understand that every client has their own individual needs and strives to ensure that every one is met by the time a lease has been signed. To talk directly with a representative, call (859) 254-5755. Visit their website for additional information about commercial leases.