Tenants Leasing Space for Business - Want to Save on Real Estate Rent?

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Are you a Tenant Leasing Space or a Building for your Business - Seeking Major Cost Savings & Money – Reduced & Lowered Monthly Rent Payments on your Lease for Real Estate?

You as a Tenant can be Paying Unnecessarily Higher than Typical Total Rent.

Importance of Total Rent for Major Cost Savings & Money for Tenants Leasing Spaces or Buildings from Landlords:

Existing Tenants: Renegotiate & Reset Updated New Leases & Rental Rates at Fair Market Rent for Upcoming & Soon to Expire existing Lease Contracts (typically much higher rents are currently being paid as the lease was signed years ago in a much stronger market at a prior time when property taxes were much higher) due to Options & Renewals or

New Tenants: About to Sign a New Space & Want to Lease at Market Levels & Not Over Pay Rent for a New Location that was Just Secured.

For Tenants or Occupants of Space, Highly Supported Net Effective Occupancy Cost Rent Analysis is Needed as there are 2 Major Components:

1) Fair Market Base Rent +

2) Additional NNN's & CAM's Operating Expense Pass Thru's from Landlord to Tenant are Key for Proper Underwriting.

Understand & Substantiate if currently paid Contract Rents in place are:

a) Below vs. b) At vs. c) Above Market Levels.

Below is an actual sample graph for Downtown Los Angeles Retail & Restaurant – Part of New or Newly Built, Larger Mixed Use Retail & Multi-Family Apartments or Condominiums or Office Buildings & Projects as a Case Study from a Real Estate Appraiser for a Subject Property Real Property Appraisal:

A) Just Leased Rent Comparables &

B) Pending Leases Out for Signature – Typically a Better Real Time Indicator of Current Leasing Market Activity.

Chart Below Shows:

1) Base Rent Range: 121% Difference or $0.75/SF/month Spread

2) NNN's or CAM's Range: 185% Difference or $0.64/SF/month Spread – A Much Higher % Differential for B) CAM's vs. A) Base Rents

Conclusion: You as a Tenant can be Paying Unnecessarily Higher than Typical Total Rent.

This information is believed to be reliable, however, do not guaranty or make any warranty or representation about it as this information must be independently verified and confirmed for reliability and accuracy. Each subject property is unique regarding general vs. specific location and general vs. specific uses, above data applies only to a specific subject based on a specific date, therefore, market level rents & values cannot be generalized for properties within even the same submarket due to additional numerous physical characteristics such as square footage sizes, year built, construction, quality & condition of improvements, etc.