Lease Lead Time

Recently we were asked to help out a potential client with their lease. After a bit of investigation, we found out that their current lease was up in four short months. YIKES. 
The lead time in commercial real estate is somewhere between seven months to a full year if you are looking for a smaller location. If the location that you seek is greater than say 12,000 square feet, you need to really have up to a year or more to complete the deal.
Why you might ask? There are many steps to the process of moving your business. But here is our thought process of the order of operations:

• Due diligence - searching for possible locations can be a long process
• Negotiations - we find that many times depending on what the landlord is looking for, these negotiations can take a while. We need time to communicate effectively what exactly you are looking for, a "meeting of the minds" is a process, not an event. 
• Find the appropriate Design team to plan your new space.
• Get bids on the construction (tenant improvements). 
• Get construction permits and complete the improvements.

We need time to get all of this worked out in order to minimize your out of pocket expenses. If you plan ahead you and give your company a reasonable lead time, you will be able to save money in the long run without having to pay rent in two places. (ouch). 

If you or someone you know is looking to move their business in the future (hopefully 7 to 12 to 18 months from now), send them our way. We would love the referral.