Should you stay or should you go? Understanding the leasing process is a huge opportunity for you to transform your business through relocation or renewal. After conducting your location needs assessment with your real estate advisor, you may consider renewing or relocating depending on the current market conditions.
Whether you decide to stay or go, knowledge is key. Take the time to examine and understand the situation in your current facility. Review all your options, and assess the overall opportunity for relocation or renewal.
Regardless of how you choose to proceed, you can mitigate some risk by being aware of some of the most common pitfalls we see in the leasing process. Below, we will outline the top seven mistakes made by tenants in the Leasing process in an excerpt from Warehouse Veteran – The Tactical Field Guide To Industrial Real Estate.
Top Seven Mistakes Made by Tenants in the Leasing Process:
1. Beginning the leasing process too late, which puts the tenant at a negotiating disadvantage.
2. Not designating a project manager as the internal single point of contact.
3. Focusing mainly on the direct financial costs without considering the qualitative or strategic costs.
4. Lacking intel regarding off-market upcoming availabilities. Most of the time, the best deals are secured well in advance of space vacancies.
5. Not leveraging current market knowledge to negotiate the most favorable terms and tenant improvement allowance.
6. Not building flexibility into facility plan for future expansion or contraction.
7. Not pulling the trigger quickly once a decision is made, and consequently missing opportunities.
Want more tactical industrial real estate tips? Grab your copy of Warehouse Veteran today on Amazon! 100% of the proceeds from this book are pledged to support veteran-related causes such as the Intrepid Fallen Heroes Fund, Paws for Patriots, and the Fisher House Foundation. Every dollar you and others spend on purchasing this book and all related materials will go directly to fund veterans’ charitable organizations.