As a Florida small business owner, you are likely to encounter a situation where you will need to enter into a Florida commercial lease. When you find the right space and location, entering into a commercial lease can be a great move for your enterprise. The terms of your agreement can significantly impact you and your entity’s future. Therefore, you will want to enter into an agreement that includes language that benefits your small business and support your goals. In this situation, it’s important to know: What can I negotiate in my Florida commercial lease?
Florida Commercial Lease Agreements
When a building owner or landlord presents a Florida commercial lease to a prospective tenant, the agreement will probably be written to their benefit. As a small business owner, it’s crucial to evaluate the terms of this type of agreement carefully to help ensure that they are equitable and reasonable. If there are commercial lease terms you question or disagree with, they may need to be changed or renegotiated. Before entering into a commercial lease, you should review the document with an experienced Florida small business attorney. Your lawyer can help you identify provisions that may be concerning and help you determine your next steps.
What Does a Florida Commercial Lease Include?
A standard Florida commercial lease agreement will include certain key terms, such as the names of the parties, the lease term, and the amount of rent. This contractual document will also set out the parties’ respective rights and responsibilities. Depending on the details, this portion of the lease may be fairly complex. In addition, there may be provisions that are specific to certain industries and locales.
Before deciding that a term needs to be negotiated, you should review the document with an experienced Florida small business attorney. Your business lawyer can help you evaluate the agreement, determine which terms are standard, and identify those that may be negotiable.
Terms that May be Negotiable in Your Florida Commercial Lease
As indicated above, the content of a Florida commercial lease will depend on several factors. These may include terms related to the parties, locale, type of agreement, and a prospective tenant’s intended use for the property. That being said, a small business owner will probably be able to negotiate some of the following commercial lease terms.
The Price
When leasing a properly, one of the most important elements is how much you will be required to pay. Lease amounts and what they cover will vary according to the agreement. Some commercial leases will be fairly straightforward, with a single price the tenant will be expected to pay each month for the duration of the lease. Others may increase annually. Some tenants negotiate how much their rent can be raised yearly. As you and your small business lawyer review your lease, you can evaluate the proposed price and discuss how this term will impact you and your options.
Financial Responsibilities
As a tenant, you will be responsible for paying the rent on time. However, you may have other financial responsibilities, such as paying for maintenance, utilities, and repairs. In addition, some commercial leases require the tenant to pay property taxes for the leased site. You and your small business lawyer should evaluate these types of terms carefully and be prepared to negotiate who will be responsible for added expenses during your lease term.
Property Use
As a business owner, you will want to consider your short and long-term plans for a proposed site. For instance, currently, you may intend to use the leased property as a commercial kitchen. However, you may want to leave open the possibility of adding a restaurant or retail segment. Does your lease provide for multiple types of use, or does it restrict you to a certain type? This may be an important and negotiable term in your Florida commercial lease.
Subleasing
When a party first leases a commercial property, they may intend to be the only tenant. However, during the lease term, circumstances may change, and the party may need to sublease part or all of the space to another business. Without the express right to do so, a sub-leasing to another tenant could breach the agreement. Therefore, if you want to plan for this possibility, these terms will need to be negotiated before you enter into your Florida commercial lease.
Fixtures and Changes
Part of your plans for a leased property may include making changes. For instance, you may need to install certain fixtures, paint, and make other cosmetic and structural adaptations to the property. You may need to negotiate for permission to make these changes. Further, you may also need to add language that clarifies which party will retain certain added features and fixtures after the lease ends.
Florida commercial leases are complex, and some terms may be negotiable while others are not. The best way to ensure that your Florida commercial lease is properly negotiated is by working with an experienced Florida small business attorney.
Contact an Experienced Florida Business Lawyer
Attorney Richard Sierra at the Florida Small Business Legal Center assists clients like you with commercial leasing, business, and litigation matters. As always, Our Goal Is to Help You Succeed™. For an appointment, you may call us at 1-866-842-5202 or use the contact form on our website. We represent clients throughout the State of Florida, including Coral Springs, Coconut Creek, Boca Raton, Delray Beach, Pompano Beach, Sunrise, Fort Lauderdale, Miami, West Palm Beach, Jupiter, Deerfield Beach, Stuart, Port St. Lucie, Orlando, Naples, Fort Myers, Sarasota, Tampa, and surrounding communities.