COMMERCIAL PROPERTY & BUSINESS BROKERS

It's not just about the building. It's about money and time. 
We understand that both are limited resources. And, as a business or franchise owner, you've got enough on your plate without worrying if you're getting the best ROI on your location. Let us take that worry off your already long enough to-do list. 

LEASE NEGOTIATIONS

How do we help negotiate you a better commercial lease?

1.   Start early. Lease renewal negotiations should begin 12 months before the term expires. If you can't get a decent renewal rate and decide to move, would you rather know this with nine months left on your lease term? You will need time to move and evaluate all the cost associated with a move. Don't have the luxury of months? Don't worry. We can still help!
2.   Create competition for your tenancy. Even if you don't want to move, shop around and collect written offers from other landlords. Know what like properties are price. These can be used as leverage when renegotiating with your current landlord.
3.   Take your time. Remember the leasing process is a process and not an event. Multi-unit franchisees often rush a lease deal and leave valuable inducements on the table. Often, we get tenants more free rent, more tenant allowance, and even more discounted rent just by refusing to sign on the dotted line too quickly. By remaining patient and taking your time, you stand a better chance of negotiating a better lease deal.
4.   Let the landlord offer you. For a new lease or a renewal, resist making the first offer. By doing this prior to your renewal, it implies that you will stay - thereby undermining your negotiating strength.
5.   Ask questions of your landlord. This applies to both a long-term and a new landlord (who may have just purchased the building). What are their future plans for the building? Does they plan to renovate or sell the property? Are the anchor tenants staying?
6.   Talk to other tenants. Some of the best inside information is from tenants already in a building. Approach your neighbors within the property (specifically those who have just renewed their leases) and ask how things went. What, if anything, did the landlord offer to them to stay? What terms did they agree to? Was the landlord compatible to their requests? What you learn here may surprise you; use this wisely in your negotiations/renegotiations.
7.   Ascertain if new tenants are receiving tenant inducements. If new tenants are being presented "perks" to move in, then you, as an established tenant, should also be offered incentives to stay. You have proved yourself as an established tenant.
8.   Ask for more than you need. When negotiating for free rent, tenant allowance money, or any other term, we always ask (negotiate) for more than what you need. If you need six months of free rent, we ask for nine months. Resist beginning negotiations/renegotiations at the level that you are prepared to accept. Also, by asking for more than what you expect to receive, you position yourself to strategically give and take depending on the importance of certain items to you.
9.   Negotiate non-rent issues. These include parking, signage, and any deposit or personal guarantee which you may have previously agreed to. Do you need more spaces for customers and/or staff? Would you like parking stalls closer to the property doors? Would you like to see more/better signage with your business name outside of the property? Is the landlord holding a deposit of yours? As a seasoned multi-unit franchisee with numerous locations, you do not remain a security risk.

Our best advice for negotiating a lower rental rate?
Work with a professional commercial lease consultant who can do this for you. At First and Main, we have successfully advocated for many tenants and negotiated - often substantial - rent reductions. Doing this effectively takes both patience and experience. Remember that without any help whatsoever, you are going to possibly remain paying excessive rent. Also remember that franchise tenants don't get what they deserve; they get what they negotiate!​   
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If your lease is up for renewal in the next 12 months or you are considering different (larger/smaller/different location) leased space - call us!  Our services are at no cost to you, they are paid by the landlord.