What are the Questions I Should Ask When Leasing or Renting Office Space for My Business?

office space

We all agree that moving can be one of the most stressful processes. It involves the logistics of packing and moving to the new office space and the uncertainty of how things will turn out once you’re there.

Since it’s something you don’t do on a daily basis, it’s pretty normal to feel lost during the process at some point. It doesn’t matter if it’s your first time moving to another office space or if you already have experience with it.  You have to ask the proper questions regarding your goals during the leasing process.

In this article, you will learn about the questions you should ask when leasing an office space for your business. Let’s observe:

1. What do you need to know about the lease and price fees?

2. What should you ask regarding the office space and amenities?

3. What is the lease length and flexibility?

4. Questions to ask when you’re leasing office space in Dubai

5. How can Connect Business Centers help you lease office space in Dubai?

1. What Do You Need to Know About the Lease and Price Fees?

Probably the first thing you do is to determine your budget for your new office space. Hence, your first question should be regarding the monthly and total costs. So make sure that it will cover everything included in the agreement. 

Terms included in the rent price

You have to understand well the terms of the rental price, so you know in detail what you are paying for. An example of this is when you rent a traditional office, the leasing company usually covers the utility costs. But nowadays, that is not always the case. 

Terms not included in the rent price

There is a slight possibility of additional hidden fees that you have to pay monthly. It means that they are not included in the price and can add up in the future. Therefore, it is crucial to include the hidden costs in the budget before signing a contract.

The renter’s insurance

You have to check if the cost of the lease covers the renter’s insurance. Therefore, keep in mind that there may be a possibility to include the renter insurance into the budget for your office space. But do not worry; this type of insurance is usually cheap. Still, you have to talk about it with your leasing agent.

Maintenance, repairs, and upgrades to the office space

Usually, it is included in the office space lease agreement. However, try to check what is covered. You should ask if there is a need to make any repairs before moving to the new office space.

Possible increases in the price

Right now, it might look like a great deal, but it will be less appealing if you face slight increases in the rental price. Currently, proprietors are incorporating something called escalation clauses in the office spaces lease. It will let you know when and how the rent will increase. 

2. What Should You Ask Regarding Office Space and Amenities?

Now, you already know how much you have to pay for the office space, but still, you want to be clear about what your money will get you.

Available services and amenities

You can have access to different services depending on the building type, such as internet, Wi-Fi, telephone, 24/7 security, and reception. Also, it may include shared spaces like lunchrooms and boardrooms. Depending on those services and amenities, they will determine the cost of the office space for rent.

Parking 

If your business operates in a major city, you should consider a parking space. It is a crucial commodity for your clients and guests when they visit your business. So, parking spaces are something to take into consideration when renting office space, especially in Dubai. Thus, you will want to see if the cost includes the parking, how much the parking pass will cost, and if it will affect your budget in any way for the new workspace.

The floor plan of the space

Try to get a copy of the floor plan of the office space you are leasing. Make sure it meets your business needs. Also, two office spaces can have the same measures, but the design can drastically change the usage of that space. 

The signage opportunities 

Surely, you want people to find and identify your business easily. Hence corroborate if you can use your company logo in the building. 

Tenants and competitors next door

You have to think if your neighbors will make too much noise when having an important meeting with your clients. Plus, what would happen if one of your strongest competitors decided to move next door? These are issues you have to talk about with the landlord if you think your business requires it.

3. What is the Lease Length and Flexibility?

Try to ask about different alternative leasing options when looking for office space, given that in most cases leasing agents will put you on the longest lease.

Check if it includes a renewal option before you sign because, when your lease ends, the landlord has no obligation to offer the same office space unless the contract states otherwise.

Protection for unexpected circumstances

You are never sure about what will happen in the future. However, you can make sure to be protected from unexpected circumstances such as your landlord going bankrupt. This protection will allow you to have a recognition clause.

4. Questions to Ask When Leasing Office Space in Dubai

It doesn’t matter if you are experiencing this office market for the first time. It is important to ask questions to make sure you have a good experience. Let’s take a look at the important questions you should ask when leasing office spaces in Dubai. 

How much space do you need?

If you expect your company to grow, you have to make some projections. Hence, you will be able to get the right amount of space for your new workplace. This way, you can determine if you need an entire office for your business.

You should also learn about the square footage per employee. This depends on the industry. Keep in mind some industries require different services such as desk allocations, degrees of privacy, or floor plans. However, it doesn’t matter the industry you have to know how many clients and partners may visit your office space.

You can learn how to do a more accurate analysis by using an office space calculator to see how much your company will need. In this manner, you avoid paying a higher monthly cost for a room that you don’t need. Thus, square footage must be one of your priorities.

Does the moving process affect employees’ commutes?

Make sure to talk with your team and ask which location will be convenient for them. Many employees enjoy working in an office where they can easily access from home and close to many amenities, parking, restaurants, etc. You don’t have to think about everyone’s opinions, just try to include employees in the process. They would feel appreciated because you consider their well-being.

What are your priorities when looking for a new office?     

You must take some time to think about the future of your company. Once you have determined it, you focus on the cost and how you will get it. You could think about the commute, location, neighborhood character, or the length of the lease.

Whatever you think your priority is, remember that they are prone to change. Whether you need an office space or you haven’t looked yet, determine your main priorities. This way, you will be able to identify the right office space that suits your needs.  

How can you find the right tenant broker?

When you call a phone number to lease office space, the agent or broker will always advocate for the landlord’s benefit. It includes the information provided, the spaces listed, and the lease terms. All of the previously mentioned elements will benefit the landlord and his budget.

So, how can you find a tenant broker who looks out for your financial benefit? If you have a big company, tenant brokers will come to you, even though that’s not the case for the average business owner.

You can start looking for a commercial tenant broker by searching office space listings you are interested in. This will lead you to find good tenant brokers who can get you quality spaces and consider your budget.

How does the tenant broker’s payment work?

Hiring the right tenant broker may give you security. But there is another important topic, the broker fees. As a tenant, you are responsible to pay taxes, maintenance, Internet, insurance, and other fees. But don’t worry, there is some positive news. Usually, the landlord pays for the tenant broker’s fee in commercial real estate.

Normally, the tenant broker and landlord’s listing agent take a percentage from the commission, but generally, the tenant is not responsible for the broker’s payment.

Can you get free rent and how can you get it?  

The landlord might give a monetary contribution to organizations and fund improvements and renovations to the building. Therefore, you can check if you can opt for this type of agreement before signing a contract. 

How long is the leasing process?

Remember that time is money. Hence, how much time the leasing process is going to cost you? Unless you are not in a hurry, you can wait for the right opportunity and the perfect property. Generally, it takes around six months to carry out the whole process, from the day you start searching for office space to when you move into it.

Nevertheless, it is just an estimated time. Renovations can take longer than you expect and even getting signatures can lengthen the process.

Will you need an architect and a designer?  

You have to put together a good team. Architects are in charge of spatial relationships and building structures. Engineering, managing construction projects, and design are their main skills.  On the other hand, designers are in charge of the spaces inside the building, remodeling projects, and helping to set spatial relationships as well.

The skills of an architect and a designer complement each other and they have experience working as a team.

Can you negotiate the expansion of other rooms in the space you are leasing?  

We know it might look too early to think about an expansion within the building. But you never know what will happen in the future, so it’s better to be sure. For instance, if your company grows faster than you expected, you will end up with too many people (employees and clients).

You can make a request for an expansion option in the lease. Actually, sometimes landlords consider opting for other floors in the building.  

5. How can Connect Business Centers help you lease office space in Dubai?

You know all the questions you must ask; now it’s time to look for the answers. In Connect Business Centers you can contact our qualified brokers. They will help you find the right property for your business. Our responsive team and technology will provide you with the most flexible and transparent experience in the office space market.  In addition, our algorithm calculates many locations according to your budget.

Kate

Kate
Kate works at Connect Business Centers as Sales Manager, She is graduated from London and moved to the United Arab Emirates in 2017, She is a specialized agent for finding Business Centers, Office space, Co-working spaces to the clients based on their requirement and in addition to it, she also happens to be specialized in UAE mainland Company formation, Golden Visa, Bookkeeping, VAT registration and PRO services.

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