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Terms and conditions of an office lease in California

There are many factors that a renter needs to consider when leasing office space in California, no matter the type of business. Two important factors include finding a good location and negotiating a fair monthly rent. It may also be worthwhile to specify how much usable square footage is actually available. Reviewing blueprints of the building's available space may be beneficial.

One aspect of the lease that should be determined ahead of time is the length of the lease and the amount of rent to be paid each month. If possible, it may be a good idea to have a chart included in the lease agreement outlining when payments are due. This can help a company plan in advance how much money needs to be set aside for rent obligations.

Among other issues to consider is the hours that the space can be used and how to get out of the lease. Not being able to have access to the space when necessary or having to pay extra for that right can turn an affordable rental into an expensive one. When signing the lease, make sure to look for any clauses that could terminate the lease early to allow the landlord to cater to potentially higher paying tenants.

When negotiating commercial real estate leases, enlisting assistance from an attorney may be helpful. A legal professional may be able to look for any unfavorable clauses or other terms that could hamper a tenant in the future. Legal assistance may also be beneficial if a contract dispute arises. In the event of a contract dispute, a tenant may be entitled to compensation if the lease is violated.

Source: Gaebler Ventures, "Office Leases: Important Terms and Conditions", Brent Pace, January 05, 2015

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