How to Navigate the Phoenix Commercial Leasing Process

The commercial leasing process in Phoenix has complex layers, but with the right knowledge and guidance, you can navigate it successfully to determine the best options for your business. Whether you’re a tenant looking for the perfect location or a landlord seeking responsible tenants, understanding your leasing options is essential.

This guide provided by our team of specialists will walk you through key aspects of commercial and industrial property leasing in Phoenix to ensure a smooth and successful transaction.

Explore Different Phoenix Commercial Real Property Leasing Options

Once you’ve established your business goals, you need to determine which type of commercial real estate property lease options best match the amount of control you seek and the level of responsibility you want to take on as a tenant or landlord.

Here are three of the most common types of commercial real property rental agreements in Phoenix:

Gross lease: The tenant pays a set rent and has more control over how much is spent on expenses like utilities and janitorial services. The landlord covers real property taxes, insurance, and maintenance.
Net lease: The tenant is responsible for additional costs like property taxes, insurance, and maintenance (example, triple net lease, where the tenant covers all these).
Percentage lease: Rent is based on a percentage of the tenant’s sales, often used in retail spaces. The tenant pays a base rent plus a percentage of their monthly sales, which goes toward building maintenance and operating expenses.

Need help choosing the best rental agreement to use for your business? Let Rowe and Associates walk you through your leasing options. Get in touch with us today to schedule a free consultation. In the meantime, take a look at a few key points to consider while negotiating your lease agreement.

Negotiations During the Commercial Leasing Process

Whether you are a tenant or landlord, you need to negotiate the best agreement possible to support the financial goals of your business.

At minimum, negotiations for your commercial lease should clearly note who is responsible for what and any financial expectations to include:

Rental terms and rent escalation clauses.
Maintenance responsibilities (who handles repairs and upkeep).
Lease termination and exit clauses.
Subleasing and assignment options.
Tenant improvements and allowances.

Our commercial property leasing specialist can help you prepare or evaluate leasing agreements and navigate challenging negotiations. Contact Rowe and Associates now to find out how our team can guide you through the commercial leasing process in the Phoenix Valley and surrounding areas.

Review Your Commercial Lease Agreement Before Signing

We’ve all heard the line “measure twice, cut once.” The same rule of logic applies to commercial leasing agreements.

After creating and/or negotiating your commercial property lease, it’s crucial for tenants and landlords to double check the agreement before signing.

If you haven’t yet hired a Phoenix commercial real estate attorney or leasing specialist, you should consider finding one. Doing so will help you gain peace-of-mind as they can answer any last minute questions regarding tenant rights and landlord obligations. Present potential future challenges and solutions. They’ll also know how to identify and avoid any common mistakes that may have been overlooked during the initial commercial leasing process.

Common Commercial Leasing Process Mistakes to Avoid

To recap, here are common leasing process pitfalls you want to avoid:

Signing a lease without legal or professional review.
Failing to account for future growth.
Ignoring the fine print (e.g., hidden fees).
Not planning for rent increases.

Avoid these costly mistakes with expert guidance from Sam Rowe and Associates. Reach out to us for support throughout the leasing process. Call (480) 933-0004 or email [email protected] today.

Find Help to Navigate the Commercial Leasing Process in Phoenix

Understanding your business’s specific needs, the various types of commercial leases available, and the importance of thoughtful lease negotiations are all critical to securing your company’s success. Carefully considering each of these factors will not only help you avoid costly mistakes but also ensure that your lease supports your long-term business goals.

However, navigating the complexities of the commercial leasing process can be challenging without professional guidance.

At Rowe and Associates, we specialize in helping businesses like yours create and negotiate the ideal commercial lease. Whether you’re a startup looking for flexibility or an established company seeking a long-term solution, our team is here to provide advice at every step. Contact us for a free consultation, and let us guide you to the perfect property agreement for your Phoenix business.