Medical and Dental Lease Needs
For most medical and dental professionals, real estate leases are not the most pressing issue the owner has to deal with when transitioning to their own practice or a new location. After all, there are payroll concerns, patient concerns, staffing issues, equipment concerns, etc .etc. etc . In many office spaces the monthly rent could be over 10% of the practice total overhead expense. If you leave negotiations up to the landlord they will determine what the rent will be. That being said, it is important to be proactive and get the best possible deal on rent.
Medical and Dental Lease Negotiations
Since leases all have escalation clauses, over time the rent typically will outpace the current rate of inflation. So with a typical ten year lease when the lease ends the rent is over market. Since doctors and dentists do not always know what the market rent should be they end up paying more than they should. Also, the market may dictate other concessions such as free rent and tenant improvement dollars that the tenant is unaware of when negotiating.
One of the biggest ways to insure a solid deal is reached between yourself and a landlord is to create urgency for them. Have your agent reach out to the landlord two years before the lease expires. The agent can move you and create a vacancy quickly which the landlord does not want. This creates urgency and enables the agent to get a better deal for you and your practice. Moreover, the agent knows what the deal should consist of and determine the best price per square foot for your medical space needs.
Finally, the landlord pays the agent a commission to do this so you save money while incurring no charge! Reach out to Charles Feitel to learn more at 301 365 6940 or firstname.lastname@example.org. www.hprgrealty.com