Before you start looking for the perfect warehouse space for rent for your small business,you should to get informed about the commercial warehouse leasing process. Being ready will keep you from making foolish decisions and costly mistakes you will end up regretting in the future. The following are some insider suggestions to help make an informed decision when letting a commercial real estate your company

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

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

Get familiar with the commercial real estate terms and meanings. Different landlords say and quote things differently. If you’re in doubt about what they mean do not be afraid to ask them to get more information.

If you’re not familiar with the commercial rental process or the present market conditions then consider engaging the assistance of a tenant rep. Their services do not cost you anything since building owners compensate all the leasing commissions. The landlord agent will have an knowledgable listing agent representing them so it would be a great idea for you to have one also.

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

Do not settle for the first commercial properties you believe is acceptable for your requirements: continue searching until you have at least two to three 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 numerous building owners competing for your tenancy. They also give you something to fall back to if the discussions for your first choice go silent.

Send out proposals to your top three to five choices. These aren’t legally binding. You never want to take a landlord agent’s verbal note. Everything needs to be in writing.

To help you decide what property is best suited for your business,prepare a spreadsheet to do an apples to apples comparison of every property. A few of the things you need to put into consideration include the size of the distance,the inquiring base rental rates,the necessary lease duration,and the incremental expenses (taxes,insurance,maintenance,etc). It is also possible to take note about the pros and cons 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 over your budget. The monthly base rent is calculated by multiplying the industrial space square feet from the asking base rate and any operating expenditures then dividing by 12.

If any of the commercial spaces need tenant improvements then it is crucial that you figure out what improvements you want on each and get construction bids. This way if the landlord is offering a tenant improvement allowance you will know how much out of pocket you will need to pay over and beyond what the landlord is willing to give.

Carefully examine and compare the terms of each proposal. Consider whether it is logical to return to every landlord to negotiate additional concessions. Make sure you completely understand the total expenses you’re expected to cover. Do not 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’ve made your selection now it is time to have the landlord offer you the first draft of the 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 can review the lease with you as well. Industrial lease language can be negotiated. If you do not like particular lease items or want to propose new language now is the time to do so.

When the end of rental contract negotiations has ended the landlord will give you a copy of the lease to review and sign.

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