4 replies to this topic

[turbo2015]

Commercial let it’s a 1^st for us need your help with negotiating, Totally lost.

 

 

We have seen a place to let for a friend. Questions

-The building needs it usage changed from B1 to D1, who normally covers this cost…Landlord or Tenant.

 

-Sink need installing, who would cover the cost… Landlord or Tenant.

 

-carpet needs removing.

 

-Looking for flexibility is it normal to have a 5 year lease with 1 year break.

 

-its advertised at 659 Sq ft  £25  per sq ft plus rates and service charge for the second floor. Should I ask the landlord to cover all costs for above and put in a offer of £22.50…

 

should I negotiate rent but pay for all of the above, just trying to work out what normal when negotiating a commercial let.

 

Thanks for any help!

 

 

 

[Ivor]

If it's usage needs changing I'd get the landlord to take that risk, ie rent on the basis he changes it, the rest , as you say, offer a rent on the basis he does the work and then haggle , might work out cheaper if you get a lower rent if you do done of the work

[Tony H]

The headline rent is the hardest to negotiate on. As it effects the propertys value and they use the rents of similar nearby units to justify increases at rent reviews.

You can ask for initial rent free period that will reduce the amortised cost while keeping the high headline rent. 3 to 6 months.

We had a unit that needed a change of usage. We took on all the work for that but had a break clause in the event the change of use was denied.

If the deposit is a significant amount have part/all returned early if pay on time good behaved etc.

Leases over 7 years have to pay stamp duty.

Be mindful of the repair obligations and have a schedule of condition done.

If you can get the landlord to sort any stuff beforehand that saves you time and money then fair enough.

Everything is negotiable you have to chance your arm get a good deal.

[alanwetherall]

Our very nice 1,500 sq ft unit is on a rolling month lease, shop around, it took us over a year to find the right deal. Landlady,s lovely

[Pidgeon]

Very much an open market driven by demand.  If demand is low, the agenda is yours.  If high, the LL won't budge.  Just watch the dilapidation obligations and get a schedule as Tony says.