Before you begin searching for a good warehouse space for rent for your business, you will need to get informed about the commercial warehouse leasing process. Being prepared will help prevent you from making hurried decisions and costly mistakes you will end up regretting later on. The following are some insider tips to help make an informed choice when letting a commercial space your company

Start the process of locating commercial space at least 6-12 months before your current lease expires or until your ideal move-in-date. Finding the correct space and negotiating the deal will take 1-2 months depending upon the size area and current market conditions. In most cases the spaces you like will require some type of tenant improvements which the time required will depend on the scope of work.

completely research your business’s current and future needs. Consult with the various department heads for input as well as some key employees.

Get acquainted with allthe commercial space terms and definitions. Different landlords state and quote things differently. If you’re in doubt about what they mean do not be afraid to ask them to supply more information.

If you’re not familiar with the commercial leasing process or the current market conditions then consider engaging the support of a tenant representative. Their services do not cost you anything since landlords compensate all the leasing fees. The landlord representative will have an experienced listing agent advising them so it would be a great idea for you to have one also.

Personally visit all the spaces that meet your requirements so you can make a short list. Keep in mind that the designs can be reconfigured so don’t get stuck on that. Ask the landlord reps a great deal of questions regarding who owns the property, property amenities, required lease duration, how much the landlord is willing to give in tenant construction allowances, etc..

Don’t settle for the first commercial space you think is suitable for your requirements: continue searching until you have at least two to 3 alternative choices. These additional options will work to your benefit since you will know what to expect during the lease negotiations and you will gain more leverage with multiple landlords competing for your business. They also give you something to fall back to if the discussions for your first choice go sideways.

Send out proposals to your top three to five choices. These aren’t legally binding. You don’t ever need to take a landlord representative’s verbal word. Everything should be in writing.

To help you decide what property is most suitable for your business, prepare a spreadsheet to do an apples to apples comparison of each property. A few of the things you need to put into consideration include the dimensions of this distance, the inquiring base rental rates, the required lease duration, and the incremental expenses (taxes, insurance, maintenance, etc). It is also possible to take note about the advantages and disadvantages of each property. If you’re budget conscious then you can quickly narrow down the list by simply calculating the monthly base rents for each property then removing those that are way above your budget. The monthly base rent is calculated by multiplying the industrial space square feet from the asking base rate plus any operating expenditures then dividing by 12.

If any of the commercial buildings require tenant improvements then it is critical that you determine what changes you want on each and get construction bids. This way if the landlord is offering a tenant improvement allowance you will learn how much out of pocket you will have to pay above and beyond what the landlord is willing to give.

Carefully analyze and compare the terms of each proposal. Consider whether it makes sense to return to each landlord to negotiate additional concessions. Be certain you completely understand the total expenses you’re expected to cover. Don’t get emotionally attached to a certain property until the discussions are over. Emotional attachment might lead to you signing a contract your business can’t live up to.

After discussions are finalized and you have made your selection now it is time to have the landlord offer you the first draft of this commercial rental contract.

Now it is time to reassess the commercial rental contract. It would be advisable for you to hire an attorney to review the lease. For those who have a tenant agent then they could review the lease with you also. Commercial lease language could be negotiated. If you do not like particular lease items or want to propose new language today is the time to do so.

Once the end of rental contract negotiations has finished the landlord will give you a draft of the lease to sign.

There are several more things to think about when renting commercial property however these suggestions will help get you going. If you’re a new business renting commercial property for the first time or an current business who has only rented 1 or two spaces then consider getting help from a tenant representative. Their services do not cost you anything and you will save a great deal of time and money.