3 tips for negotiating your commercial lease renewal

3 tips for negotiating your commercial lease renewal

On Behalf of | Mar 16, 2022 | Firm News |

When your commercial lease comes up for renewal in Mississippi, it may serve you well to revisit its terms and see if it makes sense to try to renew your lease and remain in the space you currently occupy. If you decide to try to stay in your current commercial property, you may want to use this time to negotiate with your landlord and make the space even more appropriate for your needs.

Per Jones Lang LaSalle, certain steps you take during commercial lease negotiations may make it easier for you to get what you want from your landlord. More specifically, you may want to do the following once lease negotiations begin.

1. Know what your landlord stands to lose

If you have paid rent on time and otherwise been a good tenant, your landlord may want to keep you where you are. You leaving the commercial space means it may stay vacant for some time, leading to financial losses. It also means your landlord has to take steps to find another renter and potentially update the space to meet the new renter’s needs.

2. Know the market

It also pays to understand the market that surrounds you. Knowing the real estate market helps you find alternatives if your landlord fails to work with you. It also shows your landlord you are an informed consumer.

3. Start the process early

Consider starting commercial lease renewal negotiations months in advance. This gives you time to find an alternative rental if need be. It also gives you more time to negotiate the things you refuse to compromise on.

Ultimately, the more you show your landlord you understand the market and how much he or she stands to gain or lose if you leave, the better your chances of negotiating a lease renewal agreement that falls in your favor.