During a commercial lease, you must be careful to rent your property to the right person. This article explores the questions that you should ask potential renters.
What Type Of Goods & Services Does Your Business Provide?
Although this question may appear unnecessary, it is vital to ensure that the kind of business to be undertaken in your commercial property is lawful and falls within the types of ventures allowed in that region.
Additionally, asking this question helps you establish whether the location and space will be appropriate for the potential client business.
When Do You Want The Lease To Start?
Inquiring about the occupancy will aid in determining the lease’s start date. It’s also crucial to figure out when you’ll be able to give the vacant property out for occupation.
If the space already has a renter, you should find out when their lease expires and whether they have an opportunity to extend their tenure. It would help if you also thought about whether the existing renter will have to do any make-good work on the property when their lease expires and how long that will take.
How Long Does The Commercial Lease Last?
You, as the landlord, must know how long the renter intends to rent the commercial space. It would help to inquire about a first-renewal option before the property is put on the open market after the lease expires.
Why Did You Leave Your Previous Location?
If they’re a well-established company relocating to your location, you’ll want to discover why they left their previous location. Moving places can be costly, and convincing consumers and clients to come to the new location, depending on the business, can be a difficult transition.
There’s undoubtedly a good reason they departed if they’re going to that much trouble and expense. It could be as easy as requiring more room, upgrading to a fancier structure, or relocating to a more desirable neighborhood. It’s also possible that they were ejected from their previous lease due to a breach of contract. They may have also gone due to a disagreement with the landlord or the building.
How Long Has Your Business Been In Operation?
This will reveal if the company is old or new and its current level of success. If the company is new or less than a year old, requesting a business plan is a good idea. This can give you information about the following:
- management staff
- company’s history,
- target market,
- operational budget, and
- projected revenue for the following year.
Trust the Professionals at Clagett Enterprises for Your Realty Needs
If you’re looking for an experienced property management company, the perfect realtor for your property, or a professional to assist you during your purchase of any home, you can rely on Clagett Enterprises. Clagett Enterprises is a full-service real estate company with almost 30 years of experience in the Frederick and Western Maryland area. For assistance with commercial sales, leasing, management, and development and consulting, contact us online or give us a call at 301-665-6009. To meet our team and see some of our beautiful homes, follow us on Facebook and Linkedin.