When Signing A Commercial Lease, Get An Attorney’s Guidance
Commercial leases can seem like a necessary evil when they are essential but overly complex. As an entrepreneur or established business owner, you may need to lease one of the following property types to run your business in:
- Office space
- An industrial space, such as a warehouse or factory
- A retail property in which you hope to operate a store
- A property used for hospitality, such as a hotel or restaurant
- Part or all of a mixed-use property
You naturally approach the job of finding a property and preparing to sign a lease as a business transaction. It is a business deal that has legal as well as financial considerations.
At Dillon Miller Ahuja & Boss, LLP, our real estate lawyers assist business clients in all legal aspects of their commercial leasing arrangements, including helping business owners with lease disputes. Our experience in all facets of commercial real estate is a powerful reason to contact us as you prepare for this major investment in your commercial entity’s future.
Essential Considerations For Commercial Leases
Buildings and vacant lot properties have many costs besides just the estimated value of the land and/or building(s). When costs such as those listed below are taken into account, understanding all ramifications of a lease can be extra challenging:
- Monthly rent payments
- Property insurance
- Real estate taxes
- Common area charges
- Utilities, such as gas, water and electricity
To calculate all costs of a lease, your business may need to enter into one of these common types of commercial leases:
- A gross lease, whereby the landlord pays most expenses beyond the monthly rent
- A modified gross lease, with some expenses handled by the commercial landlord and others by the tenant
- A triple net (NNN) lease, whereby the commercial tenant pays all operating costs of a business or property, even unexpected ones
- A net lease, whereby the tenant pays all expenses as well as property tax
A commercial real estate attorney can help you understand the type of lease you will be asked to sign.
Contact Us In Carlsbad For Assistance Anywhere In The San Diego Area
Learn what you need to know about the commercial lease you may sign and how well its terms will suit your business needs. Or, you may need help preparing to buy a commercial property. Our attorneys can help you determine what is right for you.