Whether it is a lease for new space or a renewal of a tenant’s current lease, Executive Lease Advisors analyzes complex commercial leases with a critical eye. We negotiate for terms that are favorable to the financial health and strategic direction of our client's business. Each lease negotiation strategy is custom designed to maximize the value of the lease agreement by ensuring that the terms and conditions are well aligned with our clients’ short and long term business goals. This is accomplished by maximizing cost savings, identifying hidden and/or excessive expenses that become profit centers for savvy landlords, negotiating optimal lease flexibility in case our clients need to contract, expand or sell their practice, and monitoring critical dates and payout triggering events that are far too often missed by tenants who do not have a strategic leasing program in place.
Abstracting and Risk Analysis
It is critical that the terms and conditions of your lease agreement are structured to help protect your business and avoid costly surprises. Our abstract and analysis (ARA) service is a summary of critical dates, important financial considerations, and business implications inherent in any complex commercial lease transaction. Specifically, the ARA service is a tool that makes critical lease information readily accessible to business owners. Our ARA service will put you on notice regarding any lease provisions that are a cause of concern, significant financial obligations of tenants and/or landlords, and other issues of import. Our ARA service equips clients with valuable information that can be used to negotiate even more favorable terms during upcoming lease renewal negotiations with your landlord. A risk analysis will help save you thousands of dollars over the term of your lease. The ARA service is also crucial to the establishing a strategic leasing program that proactively protects tenants from unnecessary risks, overcharges by landlord, and missed critical dates and payment triggering events.
Project Management and Lease Program Implementation
Executive Lease Advisors provides end to end corporate real estate services for your commercial leasing transaction. Executive Lease Advisors provides advisory services and project management services for business owners seeking to lease new space or relocate. Executive Lease Advisors will procure brokerage services, negotiate new leases and lease renewals, provide project management services for tenant improvements, and procure lease audit services. Unlike large corporations, dentists do not employ an in-house corporate real estate group to plan, negotiate, and manage their real estate transactions. However, having a dynamic team of commercial leasing professionals and negotiators, a thoroughly negotiated lease, and a proactive leasing program is critically important to maximizing cost savings, business operations, and long term strategic business objectives.
The need for lease restructuring arises when existing rents are significantly than the current market rents due to changes in the marketplace that were not present at the time existing rent was agreed upon. In a down real estate cycle, Executive Lease Advisors helps tenants restructure their leases so the terms more accurately reflect current market conditions. This can result in a win-win situation where our client's rent may be reduced, and landlords avoid tenant eviction proceedings, holding costs, and marketing costs and TI improvement allowances associated with finding a new tenant.
For most most businesses, the cost to occupy real estate is one of the largest and most critical expenses. Additional rent and operating expense provisions are complex and are usually administered by the landlord. Because the administration of such charges can be complex, it is common for these bills to be incorrect. Relying on the landlord's interpretation and calculations can result in massive overcharges over the term of the lease.
A lease audit is a comprehensive analysis of lease terms and validation of charges to ensure that amounts billed comply with the original lease terms. It involves an extensive review of every expense incurred by tenant as part of their lease obligations. Unfortunately, most leases place the burden on the tenant to identify errors and bring them to the landlord’s attention within a limited time period. Due to the demands of running a business, far too many tenants do not have the time, internal resources, or expertise to ensure that remitted expenses are in compliance with the lease terms. As such, most tenants simply pay their bills as rendered. Consequently, this may result in yearly recurring overpayments for the term of the lease. Having a lease audit program can reveal billing errors, overpayments, and advantageous billing practices used by landlords. By eliminating unnecessary and excessive expenses paid to landlord, a lease audit program may ultimately reveal an additional source of funds for a tenant that would have otherwise been remitted to landlord.