Leasing Office Space Part 3 of 23

•Leasing Office Space Part 15 of 23 Lease Negotiations
When do You Start Paying for Office Space? Tenants are generally provided time to prepare the office space for occupancy prior to the date when they must begin paying rent. However, in hot markets and for some very desirable properties or spaces, landlords will be able to require that tenants pay for office space beginning at the time the lease is executed. In such cases, it is possible the tenant will pay for space for four to 12 months, or even longer, prior to commencing operations within...

•Leasing Office Space Part 7 of 23 Budgeting and Layout
Define Budget and ExpectationsM Define the building quality, price per square foot and total monthly budget for office space. The office space broker will advise you if your expectations are on realistic. Visit with the tenant rep broker to make sure the amount of office space you are seeking is consistent with your current and projected number of employees. The density for most American offices is between three and six employees per 1000 ft.² of net rentable space. (The difference between...

•Leasing Office Space Part 4 of 23
Selecting a Location Location Office space location issues can include proximity to existing and potential employees, clients, vendors, and various third parties. For companies with less than 100 employees, the primary criteria for selecting a location is typically proximity to the chief executive officer’s residence. As a company grows, office relocations also consider where both existing and prospective employees live. If a company moves 20 or 30 miles from its current location within a...

•Lease Audits
Lease audits are an integral and essential component of due diligence when purchasing an investment property. Lease audits apply to apartments, office, retail, industrial, self storage and any other type of property where written leases exist. In lease audits most rent rolls are accurate and consistent with the actual leases. Lease audits can compare rent roll to leases to bank records. Most investment property sellers have not engaged in the nefarious activities such as leasing a volume of...

•Leasing Retail Space Types of Retail Space
What Type of Retail Space? A great retail space for your business needs to be the right type of space in the right location. The previous portions of this article addressed location. This section will address options for the type of retail space. Impulse versus Destination Some purchases are made on impulse and other purchases are made after careful planning. Retail for the carefully planned shopping will be termed destination retail. Starbucks is a great example of an impulse purchase....

•Leasing Retail Space Foreclosures and Lease Cancellations
In Event of Foreclosure Foreclosure of a mortgage typically extinguishes all claims to the property. In other words, if you've negotiated a lease and started a business, your right to use the retail space is terminated by foreclosure unless there is a separate agreement. Will Lender Cancel? In many cases, the lender has a defined period of time to reject leases or they are assumed to remain intact. Further, lenders often want to retain the leases and tenants to make the property more...

•Leasing Retail Space Evaluating Retail Space
Due Diligence The previous sections of leasing retail space addressed selecting the general location, selecting the type of retail space and the sighting how to find your retail space. The next several parts will address issues to consider when evaluating a specific retail space option. Access Issues for each option include traffic counts, traffic patterns, and ingress and egress. As you evaluate location specific issues, contrast the features of the space being evaluated with the most...

•Casuality Loss Hurricane
Silver Lining from Hurricane Ike Hurricane Ike inflicted a steep penalty on the Texas Gulf coast. However, there is an inconspicuous benefit – casualty loss tax deductions. Taxpayers may be able to take a 2008 deduction if either personal or business property was damaged by Hurricane Ike. Meaningful Deductions Some taxpayers will be able to completely eliminate their 2008 federal income taxes by utilizing a casualty loss deduction. It is not necessary to sell the property to be eligible...

•Highest and Best Use Analysis
Highest and best use analysis can assist an owner in maximizing return. Highest and best use analysis can be performed for acreage, site development, and for improved properties. Research and planning can substantially increase investment returns. If in a metropolitan area, highest and best use can be a combination of uses including single-family, multifamily, and commercial. Mixture of uses and timing of development are both critical factors. Commercial and multifamily land will yield a...

•Business personal property Valuation
Business personal property (BPP) can be challenging to value because of the limited quantity of data available and primary reliance upon the sales comparison approach. Relatively speaking, a voluminous quantity of data is available when valuing real estate as opposed to valuing business personal property. Many real estate appraisals consider three approaches to value: cost approach, sales comparison approach and the income approach. By contrast, most business personal property appraisals depend...