It's not always possible to buy the commercial property you want. Yet, there are many reasons why it might be worth considering leasing. The benefits of leasing are that you can float your business without too much of a financial investment, you can pay only for the space that you need or want, and if you'd like to expand in the future it’s easy to do so. If you're considering leasing commercial property in London here are some things to keep in mind...
It might be the right choice for you if:
- You need a short-term solution
- You're not sure how your business is going to do in the future
- You want flexible options for your business
- You don't have a lot of money to invest in a commercial property.
If you're considering leasing commercial property, it's important to consider if you actually need to lease or can you buy.
If your business is in the early stages and doesn't make enough money to invest in a large property, then leasing might be your best option. Alternatively, if you're in the process of expanding and want to start big by moving into a large building in London, then leasing would not be for you - instead, it's better to buy.
The bottom line: if you want flexibility in how large your space is or not sure what size of property you'll need in the future, then it would be better to lease. On the other hand, if you know exactly what size of property your business will need and are financially able to invest now, it's better to buy.
Commercial property in London is a valuable commodity. For that reason, the leasing process has many more elements to it than just signing a contract. You should have a qualified surveyor come in and do an assessment of the property before you decide to lease. The survey is not a requirement but it will help you ensure that the property meets your needs and is structurally sound.
The next thing you'll want to look at is how much space you'll be leasing vs buying or renting – this will have an impact on your financial planning as well as your company's growth.
It's important to find a commercial property that is the right size and in the right area for your business. There are many options when it comes to leasing. If you're leasing, you can have a tenant- or landlord-type relationship with the owner. You can also have a ground lease or a net lease.
A tenant-type relationship means that you're renting a space from a landlord and paying a monthly fee. With this type of contract, there is more flexibility in what you need in your space because you can move out if you want to change your space or move to another location. A landlord-type relationship, on the other hand, means that the owner owns the property and rents it out to you for a monthly fee. In this case, there is less flexibility for what you need in your space but the rent might be lower than in a tenant-type contract. Ground leases typically mean that an individual has purchased land and has leased it to another person who will then build on it and then buy back said land at some point (this typically happens when financing is needed). Net leases mean that an individual has leased out their property for someone else to operate on (this type of lease often happens when an individual wants to get rid of their business).
It's important to think about what best suits your needs before making any decisions on which kind of contract would work best for you. Once you've found appropriately sized commercial property with these different types of relationships available
There are several types of leases you can consider. Your lease will depend on your needs, the length of time you need the space, the cost of rent, and what you'll be using the space for. You can choose between an open-ended or a fixed lease. Fixed leases usually last anywhere from six months to five years, while open-ended leases are usually for one year.
When leasing commercial property in London you should also consider if there are any other charges that come with renting the property. Some buildings charge extra fees for common areas like parking lots or pools, while others charge for certain amenities, like furniture or additional storage space. Other expenditures might be necessary to maintain your space as well - is there a fee associated with cleaning? A fee for electric services?
If you're considering leasing commercial property in London it's important to know how much money is involved upfront so that you’re not caught off guard by any additional expenses down the line.
In order to make the right decision when it comes to leasing commercial property in London it's worth considering a few things. Firstly, if you're going to be in the property for less than three years there's a good chance you'll be better off opting for a leasehold rental contract rather than a freehold. If you're going to be occupying the space for at least three years then it might be worth looking into buying your building outright. Secondly, when you're negotiating a lease always make sure that any clauses related to the termination of the lease are onerous for both parties - this will increase your chances of getting what you want. Lastly, make sure that if you've got any furniture or fixtures in mind they will fit within your new office space - some lease agreements can restrict what you can do with the interior of your property.
As you’ve seen, there are many different aspects to consider when choosing to lease commercial property in London. It is often the best option for businesses who are looking to grow and who need space, but don’t want to commit to a long-term purchase.
It’s also worth considering the pros and cons of leasing versus buying commercial property before making a decision. With the right information, you can find the best commercial property for your needs and lease to keep your business expanding.
