Know the approximate Lease Rent

[prayami]

Hi,

We are thinking to get one place on Lease to start new business. As I am new in the field of property, I am not sure, the lease rent I had been given is reasonable or not.

Please let me know if there any website, which can give the approximate lease cost for a given area. And please guide the things should be considered before signing the lease agreement.

Thank you very much in advance.

[Maccachic]

Make sure you have a Schedule of Condition drawn up this will save any arguements at the end of the tennancy in regards to what the premises were like before you took them over. A schedule of reinstatement will be done at the end of the lease and will outline where you have breached your agreement in regards to maintenance, damage etc and outline costs which you can either fix yourself of pay the owner out. Both of these schedules need to be done in relation to the Lease agreement.

A valuer is the best person to advise on lease charges but you will have to pay for the advice.

[Niall]

HI prayami,

Check commerical leases in the area you are looking to rent in. http://www.trademe.co.nz/property/commercial-property

Find comparable properties that are currently for rent in the same area you want to open up in.

Call some of the agents who are lising these properites for rent and tell them what you are looking for, and ask their opinion on how much your wish list will cost.

Regarding your question about a guide of what to consider before signing..............
No. 1, do you need it.
No. 2, how much extra business/revenue will a physical office provide.
No. 3, do you need it.

All the best,

Niall

[liswil05]

Hi Prayami
I've been in the same position as you not so long ago. Remember you should always try to negotiate for a better price where you can and most definitely ensure that you do plenty of research first. Try to target a specific area that you want to lease in if possible, then work out the average lease for the approximate size of property you want. Call an agent and ask to have a look through a few places that interest you, that will help give you a better idea.
Again, almost everything is negotiable (depending on the landlord) including how many years before the lease can be increased and how many years you intend to stay there. If you can afford to get a lawyer to have a look at the contract before signing.

Best of luck.

[Maccachic]

I dont think you could afford NOT to have a lawyer look at the contract!