As we all trudge through this recession, (I mean recovery), it’s important to keep looking for bright spots so you don’t get down and lose focus. One white hot, bright spot is the commercial tenant’s leasing market.  This is especially true in states hardest hit by the recession.  If you’re in the market to rent space right now, it’s time to take the gloves off and give some landlord a right hook.

Almost everyday I see at least one e-mail from other agents offering something free for a potential tenant on behalf of their client/landlord.  Mostly it’s a few months of free rent; one was a years’ free rent, and another was a trip to Hawaii for the agent bringing a new tenant!  These offers, while not that uncommon, are so numerous today and are offered on retail, office and industrial properties.  The recession is forcing landlords to desperately compete for fewer tenants to fill their empty spaces.

This is where the gloves come off.  If you’re out to rent commercial space today and using the landlord’s agent to represent you, or negotiating directly with a landlord, please check-in to the nearest psychiatric hospital for an evaluation.  Neither the agent or the landlord is going to willingly offer up any incentives for you to rent space and they will squeeze everything out of you they can.  (They do it for a living).  Even if you are successful in getting a free month, would you call that a victory?  I’d call it a slap in the face.  By now you know you can have your own agent represent you and your interests for free.

Recently I negotiated a below market-rent lease with, 2 free months rent plus 2 months drastically reduced, 4,000 square feet of new flooring, paint for 10,000 square feet of space, and a cap on CAM expenses all for one client on one lease.  On another recent 1,500 square foot office lease we got 2 free months and $12,000 for tenant improvements.  These are just some of the carrots that are out there today,  but you have to know what you want to accomplish and what to ask for when negotiating.

In today’s sluggish market you have to be armed with your own agent to squeeze every last nickel out of the person you’re negotiating with.  If you do it yourself and don’t know about all the offers out there, and I mean ALL the offers, then you’re going to throw money away on an expensive, overpriced lease.  While you may not be able to “name your own price”, today it’s certainly something you can shoot for.  If you need space, save yourself some money and please call your “free agent“?

 

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