The right location for your Chicago business includes customer traffic, proper zoning and the right type and size of building. Even once you think you have identified the ideal place to open your doors, your evaluation process is not complete. The lease on the property could make or break your company just as quickly as any of the other issues. At Bradford Miller Law, P.C., our team helps many entrepreneurs to review leases and determine whether the terms are right.
Any building has a number of expenses that must be paid by someone, Forbes magazine explains, and your commercial real estate lease will spell out whether the responsibilities fall to you or to the landlord. These include the following:
- Property tax
- Structural repairs
- Common area maintenance
A net lease assigns only the utilities and property tax to you, and the other expenses to the landlord, while a double net lease requires that you pay the insurance premiums, as well. A triple net lease holds you accountable for everything except the structural repairs.
If your future landlord wants you to sign a modified net lease, there may be more room for negotiations since the expenses are often divided between you. What you end up with is an additional rent known as a base rent. This type of lease is often used when there is more than one business renting a space in the building.
More information about leasing a commercial space for your business is available on our web page.