Isn’t it time to reduce your Commercial Real Estate Lease costs?
Here are some potential benefits for you:
- Reduction in your rent.
- Reduction in your contribution to common area or triple net expenses.
- Landlord’s contribution to improvements to your premises.
- Capital or cosmetic improvements to the property.
- Landlord’s completion of any deferred maintenance.
- Reduction or elimination of the securitization and/or guarantee of the lease.
- Increase your lease term and/or lease option periods.
- Reduction of your remaining lease term.
- Increasing or decreasing the size of your leased premises.
- More favorable terms related to the possible future sale of your business that is located in the premises.
Given the present economic climate, where 87% of all businesses are experiencing some form of downturn, the time is now for Lease Renegotiation. Some successful landlords are now beginning to work to retain existing tenants. But, as the economy recovers (and it will) and as market confidence is restored and (it will be), your landlord’s motivation will diminish.
Why Professional Representation? I can do it myself!
- My almost three decades of professional experience brings a valuable range of skills that I will apply to pursuing your interests.
- By hiring a Professional, the landlord will perceive you as both sophisticated and serious about exploring all your options in today’s market. This alone will immediately increase our negotiating leverage.
- The old saying that “a lawyer who represents himself has a fool for a client” can also apply to a tenant that represents themselves in a Commercial Lease Renegotiation.
Why will my landlord renegotiate my lease?
As your representative, there are a variety factors I will have your landlord seriously consider:
To avoid an unwanted vacancy is often a landlord’s primary motive. For more about this and a detailed list of other factors go to: Questions and Answers
The successful Professional Commercial Lease Renegotiation:
Even if your landlord is motivated to keep you as a tenant and realistic in his current market expectations, I will need to present your case by citing factors that justify more favorable terms for you in a Renegotiated Lease.
Preparation first – As your representative, my preparation will consist of:
- I will clarify your motives and understand the exact nature of your present circumstances.
- I will thoroughly review and evaluate your current lease.
- I will Identify comparable property & current market leases, when available.
- I will evaluate your lease terms & conditions in comparison to those of comparable current market leases, when available.
- I will determine current vacancies of comparable property.
- I will then seek to discover the concerns and motives of your landlord to reveal the best approach.
- I will consult with you to target the specific results to be produced.
- I will develop and align upon a strategy with you.
- I will then engage your landlord in the renegotiation of your lease.
Approaching the Transaction – Renegotiating the Business Terms of your lease:
Whatever works – That’s what guides my actions.
Every negotiation is different. Clearly, it is essential to do the proper due diligence prior to engaging in formal negotiations with your landlord. Once you and I are aligned upon a strategy, it is time to get into action. The variety of approaches and techniques to negotiations are vast. Even with a strategy established, the ability to shift in a moment should an opportunity open, is critical. That’s where my almost thirty years of deal-making experience comes in handy.
I got the business terms I want! Now what?
Critical End Game – Negotiating the Legal Terms:
- Letter of Intent: We now have signed a Letter of Intent that outlines the agreed upon renegotiated business terms of your lease. Are we there yet? Not yet. Now it is time to revise your current lease. Unfortunately, deals do fail between the time the business terms are agreed upon and when the renegotiated lease is signed by both the landlord and you.
- It is when the skills necessary to successfully negotiating the legal terms of the lease are required that many real estate professionals are either weak or simply inexperienced. Once the business terms of a transaction are agreed to I have an over 85% closing rate.
- Another risky stage in the transaction process is when the lawyers are engaged – no offense to those lawyers who are true deal-makers. This is often when professionals with the task of representing the interests of their client simply lose control of the transaction. They may defer to the lawyers to now “run” the transaction or they may simply fail to continue to aggressively pursue their client’s interests. Successfully negotiating the legal terms of the lease in coordination with the lawyers is also when my skill and decades of experience really count.
- My ability to bring effective day-to-day management of all the participants and details of the transaction through to a successful conclusion is absolutely required for success. All and all a well executed End Game is obviously critical to our successful outcome!
Let’s sum it up!
I offer a service to you that is both timely and valuable. This is a service that these challenging economic times absolutely call for.
NOW is the time to provide you with my Professional Commercial Lease Renegotiation Service.
READY TO GET INTO ACTION? Go to: Ready to Act
Do you have more questions about this Professional Commercial Lease Renegotiation Service? Go to: Questions and Answers
Remember, it’s all about YOUR BUSINESS!
Steven Smith, President
Steven Smith, Inc.