If your existing commercial lease is about to expire, and you wish to retain the location, it might be the right time to renew the lease. If the space suits your business operations and provides everything you need to run your business efficiently, the location can be the key to your business’ success.
In fact, depending on the size of your commercial space, you may need to begin the renewal process as early as possible. Let’s dig deeper into why you should renew your commercial lease:
Locking in Your Location
Renewing your commercial lease helps lock in your existing business location, which eliminates any disruption to your business. You won’t need to deal with the hassle of relocating or incur moving expenses. More importantly, there will be no business downtime, which directly affects profitability.
Seek TI Allowance
By renewing your commercial lease early on, you may even be able to secure a tenant improvement (TI) allowance. This is the fund provided by a landlord to tenant for renovation purposes. This way, you can refine your office space to better meet your business needs without having to spend a penny on your own.
Although TI allowances are less, your landlord might be more willing to offer concessions if they feel you may vacate at the end of your lease. Target those concessions when seeking a TI allowance.
Relocating to a new commercial space means you’ll need to pay the brokerage commissions and other costs associated with a new commercial lease. These additional costs can be avoided by renewing your existing lease.
Think about the amount of time it takes to look for new commercial vacancies, making visits, and carrying out negotiations. In contrast, a lease renewal process is considerably simple and fast. Plus, if you leverage the auto-pilot feature, the entire process will be automated.
Commercial Leasing On Long Island
To sum it up, whether your shop is located in a strip mall, a shopping center, or retail center, renewing your commercial lease might be more feasible than finding a new retail space available. Yet, in some cases, when the existing commercial space fails to generate value for retailers, it becomes important to relocate. If you’re looking for a new commercial vacancy, reach out to Milbrook Properties Ltd. today.