Ready to shake hands with your landlord again? How to Navigate the Unknown Territory of Renewing Your Commercial Lease

TIPS and ADVICE From a Seasoned Broker that works for Businesses not Landlord's.

First step, call me. There's a strong chance I have a relationship with your landlord's team! And, since you worked with us finding the space and negotiating the first lease (right!) this will be smooth. Now, let's review your existing lease and get right into the renewal paragraph.

You'll notice right after the renewal is that we've negotiated your Right of First Refusal to purchase as well. This may be a great time to ask the landlord if you can purchase the building/site. You don't have to have the funds for the down payment, that's why I'm here. We can buy the site with our investor connections (mostly mine, but some of yours!).

RENEWAL TERM: Sixty (60) months

OPERATING EXPENSES: During this time we will review what you are paying for. And let's try to get rid of some of those costs that are passed through (or limit them at least).

LANDLORD’S WORK: What can landlord do to help/encourage you to stay at this time?

TENANT IMPROVEMENTS: Yes, you should be planning to make improvements and there's a potential landlord will help with that to get your lease renewed.

HVAC: It needs to be looked at... we're in Texas. This is the time to do that. Often TI costs are put into HVAC during renewals.

OUTDOOR SPACE: Would you like more? Many of my clients are monetizing the outdoors and not paying rent there, so go for it! Some landlords are getting wiser and charging or taking percentages.

BROKERAGE: Landlord recognizes Danny McKinley with Squared Space (Broker) as Tenant’s sole representative and shall pay Broker a commission per a separate agreement. See, that was easy for you. You, as a tenant, should have a broker the landlord plans to pay there broker and someone elses.

TIME FRAME: Move quick. Be decisive. In my 15 years, the best deals for the Tenant happen quickly.

Happy to help!

-Danny