Lease Negotiation

Lease Negotiation on behalf of Commercial Tenants Getting the Deal Right

While you may have a very good idea about the commercial deal you want, seasoned lease lawyers will help you negotiate and document the best deal possible. A crucial and further consideration to a lease negotiation is making sure the legal terms are suitable to you and not merely drafted in favour of the landlord.

Just some of the types of issues tenants need to consider when negotiating a lease include:

  • Negotiating the rent.
  • Make good at the end of the lease.
  • Rent Review: Market, Fixed or CPI and how often the reviews take place.
  • Repairs: when do they occur and how often?
  • Lease term and option for further terms.

The process is therefore much more than just negotiating an excellent starting rent. It’s about identifying risk, particularly risks that are not obvious. It is also about customising a landlord’s standard lease terms as far as possible to suit the terms that suit you. Having the terms and conditions in a lease drafted clearly can prevent future disputes.

We have considerable experience in negotiating on behalf of landlords and retail & commercial tenants in relation to new leases, variations to leases and lease disputes. Whether it is negotiating the terms of a new lease – or there is a negotiation taking place “mid-lease” our lawyers can help you devise a strategy and approach for the negotiations.

On behalf of tenants, we routinely deal with landlords, retail & commercial tenants and leasing agents, across the full range of premises such as retail premises (cafes, shops etc), shopping centres, factories, offices warehouses and service stations.

Why choose a lawyer to help you negotiate your lease?

The retail or commercial lease arrangement is rarely short term, more frequently medium to long term.

A lease is a significant overhead in any business and you will be bound to it probably for a many years. There will often be personal guarantees and nearly always substantial security deposits (bond) used as collateral to the benefit of the landlord.

Conditions agreed to at the start of your lease will not often be relevant until much later and may have a direct impact on your business. A lack of consideration at the start, can be disastrous. We frequently have clients coming to us with commercial leases that were drafted by professionals not skilled in this area, whereas more considered negotiation and drafting at the start would have prevented the issue arising at all. Good negotiation upfront will generally alleviate or at least minimise the impact of future changing circumstances.

With the proper legal advice, you can be empowered – which will typically result in a lease that excludes otherwise disadvantageous clauses and adequately protects your interests. This is particularly important when negotiating with the letting agent or the landlord’s lawyers and it is wise to have smart advisors in your corner.

PCL Lawyers | Expert Leasing Advice

Our commercial leasing team is comprised of lawyers who have the legal experience and commercial savvy to bring real value to negotiating on your behalf. We have experience in helping to negotiate a variety of leases spanning many industries.

We take a professional and considered approach to getting the best agreement, cost-effectively for our clients. Our expertise means we can offer a range of options and strategies to help you negotiate the most favourable terms.

Call one of our lease negotiation lawyers on 1300 907 335 to see how we can assist. Alternatively, please fill out the form on this page and we will respond promptly.

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