1. Why do I need Tenant Representation?
For the same reason you would not have one attorney representing both parties in a legal matter. When so much is at stake financially and legally, you shouldn’t have one broker representing both parties in an office lease transaction.
2. Why Melanie at Tenant Advisors?
Melanie will only represent you, the tenants. Unlike other real estate companies, we never represent landlords, nor do we own or manage property. Consequently, your financial and business goals are all that matter to us. We are free to aggressively negotiate for savings and lease terms that will provide the greatest benefit to your company.
3. What’s the most common mistake a tenant makes when negotiating office space?
The biggest mistake that tenants make is not developing legitimate alternatives to their first choice, whether they are interested in new space or a lease renewal. We often hear, “I don’t want to move, and plan to renew my lease for another term”. Even if you don’t tell your landlord, he will often draw that conclusion from your actions. And once the landlord understands this, a tenant loses his negotiating leverage. Even tenants who have no reason to move must develop alternatives to their current situation. Otherwise they risk spending money needlessly because they have forfeited all leverage in negotiating the terms of their renewal.
4. How is Tenant Advisors compensated for its services?
You don’t spend a penny to use our services. In most cases, the landlord pays their leasing agent a fee and the leasing agent will share that fee with Tenant Advisors. In the event you do not have representation, the landlord will pay the entire fee to his leasing agent, but keep in mind where that leasing agent’s loyalties lie when he represents a property. His job and fiduciary obligation are to get the best possible terms for his principal — the landlord. A tenant representative’s job and fiduciary obligation are to get the best possible terms for you.
5. We don’t want to move and intend to renew our lease. Why would we need Tenant Advisors’ help?
Landlords hire professional leasing agents to negotiate the highest returns for the investment in their building. If the agent or landlord can sign a tenant at a higher rate, it improves the landlord’s bottom line.
The key to a successful renewal negotiation is creating competition between your current landlord and surrounding landlords in the area, while maintaining a controlled and organized process. Tenants need to have an experienced advisor providing the proper market research and negotiating skill that will create leverage for them. Tenant Advisors specializes exclusively in tenant representation and can save you significant amounts of time and money on lease renewals.
6. How much time do I need?
Market conditions, the size and complexity of the transaction, and option notice dates can help determine when to begin the process of evaluating your office lease. Time should be your ally, not your enemy during negotiations with any landlord.
Landlords know that other buildings you’re considering will most likely have to create a space plan, get construction pricing, agree on a rental rate, prepare and execute a lease document, apply for construction permits and prepare the space for occupancy. This is typically a 4 to 6 month process. So a tenant that waits until there are only six months or less remaining in the lease term before asking the landlord for a lease renewal proposal is basically telling the landlord that it is not considering any other options.
Depending on the size and complexity of your office space requirement you should allow, at a minimum, the following lead times to negotiate your office lease:
|office size||lead time|
|1,000 – 3,000 square feet:||4 to 6 months|
|3,000 – 10,000 square feet:||6 to 10 months|
|10,000 – 20,000 square feet:||8 months to one year|
|above 20,000 square feet:||up to two years in advance|
7. How much space should I lease?
The first step in the office space leasing process, before you even start looking at space, is to determine the amount of space you will need. A general rule of thumb is to lease two hundred to two hundred and fifty square feet per person. However, this amount can vary greatly, and it is important to prepare a space plan program. Professional space planning services are available at no cost to the tenant. To estimate your size requirement simply click here.
8. How do I get started?
The best way to get started is by determining your office space needs, reviewing current market conditions and obtaining a list of all available properties that meet your needs. Click here or call Melanie at 847.852.3356 or cell 847.494.8811 to begin the process immediately.