Renting is considered a priority especially in small businesses. But we need to look down for the future aspects that will come to us. We’ll detach you from office space for rent confusion by mentioning basic points that should consider.
Here are a few things to keep into consideration before renting an office space.
1.Decide the space
Before you leave for the search of rental space, decide what area/space the business requires. You are supposed to pay only for the space you want and nothing more. Some buildings having fancy curves and elevator banks impart a huge increase on your budget. Other than it, landlords often measure the area in New Jersey by their methods. They can include the square foot area from outside of both exterior walls.
To get out of this problem, hire an architect. He will measure the space you want to lease and suggest the right capacity. The architect uses an accepted standard so you can compare one space with another. By doing it, you have sound knowledge to negotiate over the square foot price.
2.Duration of lease
The duration of the lease should be according to your business size. If you are a startup, try to sign for a short time period. It is because you don’t know if you might end up in the business in the future.
If your business is running well, find a longer duration in office space for rent. Sometimes, the landlords decide their own about the duration but no worries. Good negotiation can handle all!
3.Expenses of maintenance
Operating expenses are mandatory to pay and you cannot skip them. These costs are kept 1% of the property value for example $3000 annually out of $300,000. These costs assist the landlords to facilitate rental property other than the monthly rent.
While renting office space for lease Bergen County you should insist to shorten the list. In some cases, landlords use this clause for their benefit and charge extra. Not to approve a catchall clause (owners often force to do so). It can become a blank check and can simply raid your money.
Following items should be strictly eliminated from the operating expenses list.
- Executive salaries.
- Consulting fees.
- Market study fees.
- Commission and advertising fees.
- Structural repairs and replacements.
- Capital improvements.
Still, after this exclusion you may ask to pay for capital fees if you are not active. Electricity bills also are a major net to acquire money from the tenants. But you can save yourself if you know the different ways to pay them. These ways are three types:
- Direct metering.
- Rent inclusion.
From the above, direct metering is the best. In it, you pay the bill and the landlord cannot make any profit out of it.
4.Real estate taxes
These taxes are a complete responsibility of the landlord to pay. You are requested to pay what you agree to pay. Restate taxes in office space for lease Bergen County can also be a trap. Stay away from limitation to real estate taxes. Your lease should help you to stay from
- Landlord’s taxes.
- Cooperate taxes.
- Taxes on inheritance.
- Capital gain taxes.
- Payroll taxes.
Check the estimation to see either they are included with real estate taxes. These can be charged for new sidewalks, new sewer lines, etc. Courts have ordered and cleared it to the tenants that assessments are not part of taxes. If you are paying them, you are profiting from your landlord and making a big loss.
Some of the landlords keep the taxes high to provoke property value. Your office space for lease Bergen County agreement enables you to reduce tax payments from the rent.
