Many start-up or smaller companies are often looking to lease retail, office or industrial type commercial space to operate their business.\u00a0 Some of these smaller companies are struggling to get ahead. In the difficult financial times that are among us, it is understandable that these companies may be looking for ways to save a few bucks.\u00a0 For instance, sometimes these companies try to save on the cost of having a lawyer review what has been presented to them as a \u201cstandard commercial lease\u201d prior to signing it.\u00a0 We real estate lawyers unfortunately see the result of this attempted savings much too often.\u00a0 Many of the \u201cstandard\u201d commercial leases contain certain \u201chidden items\u201d which although considered \u201cstandard\u201d, can come as quite a surprise to a freshly locked-in tenant.\u00a0 Unfortunately these surprises often occur during or towards the end of a lease term when it is too late to negotiate an alternative. Some of these hidden items come with hefty price-tags that many small tenants cannot easily absorb.<\/p>\n
The following is a summary of a few of the many hidden items which can be found in so called standard commercial leases:<\/p>\n
These are only a few of the hidden items that can be found in what many smaller companies might assume is a \u201cstandard\u201d commercial lease. Most often, there are others. It is therefore important to have a commercial lease reviewed prior to signing it.\u00a0 That doesn\u2019t mean that these hidden items are unfair or that an experienced lawyer could negotiate out of them. However, being advised of these hidden items at the outset of a lease term can often significantly reduce a tenant\u2019s exposure to large unexpected expenses that are not part of a tenant\u2019s operating budget. By having an expert review your documents at the outset, you can ensure a smoother operation of your day-to-day business.<\/p>\n