To take advantage of a commercial property in California can be a great opportunity. Forbes explains how when you sign a lease, there is always going to be some amount of risk involved. If you know the risks, you may be able to make a more informed decision. When you set out to sign your commercial lease, there are a few factors to know.
Be aware of guaranteed tenant improvements. Tenant improvements include costs to make improvements on the property. If you are not aware of this stipulation, then you could wind up gaining more debt without realizing it. You should always look for any hidden fees before you sign the lease. Once you sing the lease, you agree to abide by all terms and fees. Before you sign, you should break down all of the associated costs and fees. This includes the following:
- Rent
- Insurance
- Management
- Common area maintenance
Add up all of your fees before you sign the lease. When you embark on signing a lease, you should also have specific goals in mind. The office space or commercial property has to meet specific business needs. You always want to evaluate how you will fit in the space that you lease.
The other terms you need to pay close attention to are the ancillary terms. These have an impact on how much you will pay every month. For instance, this will cover maintenance costs, unexpected repairs, custodial services and more.
The provided information is for educational purposes only. It is not intended to be legal advice.