Wednesday 11 March 2015

A Checklist For Industrial Leasing Of Real Estate

By Lena Stephenson


Searching for the ideal industrial space requires special strategies in real estate planning. Where industrial premises are concerned, details of the building are more significant in comparison to other property types. In this regard, a business owner has certain factors that must be considered while preparing industrial leasing plans. The factors include the following.

Most often, location is not as prominent or convenient for the workforce. It should be convenient to the products or items that shall go into and out of the premises. An example is if the company intends to deal with goods off loaded from a port, kitting them and sending these out as air cargo. A location between a port and airport would be ideal. Shipping by rail would best require a location with a rail spur meaning costs for trucking inventory to a rail loading terminal would be saved.

Parking lots for business vehicles and the workforce is vital in any business. However, for industrial businesses, this has special significance. The space covered is vital particularly if you have trucks and trailers maneuvering in and out. Again, very few properties are prepared for the huge workforce required to man business such as call centers.

Once a business drivers can enter and leave a building comfortably, next in the corporate real state strategy is the building envelope. This involves the suitability of the spacing for the business. For example, having six foot deep racks that need nine foot aisles for forklifts, thirty two foot spacing for columns would be ideal. Thirty six foot spacing would mean wasted space for the columns.

Ceiling height is very important where determination of the value of space is concerned. The bigger the height, the more capacity the business can use. Again, how the premises are shaped is crucial in terms of efficiency. If numerous loading or unloading is required and the doors are placed at a narrow end of a building that is rectangular shaped, too much time will be wasted on trips inside a warehouse.

Once you have concluded identifying your ideal space, your next step in the strategy covers activities common to identifying any other premises. It covers searching and reviewing properties that are similar and located in Florida Boca Raton City. You will use these as you compare terms while negotiations are taking place. As you conduct such a survey, you will get updates on the current norms within the market of property leasing. This is especially where terms and rents are involved.

With the knowledge that a business owner has found the right premises, the negotiations with the property landlord can then commence. The lease negotiations have to be based on a business conditions established in its real estate strategy. Having in mind the rapidly changing scenario within the modern economy, a shorter lease with options should be preferable to a longer fixed term lease. This would mean paying a little more up front but it would save costs when an exit strategy would be in the interests of the business.

It is important for your firm that you seek the requisite professionals in the industry. That way, you avoid the legal and professional pitfalls that arise. These are the basics involved when you engage in industrial space leasing. Conclude the process with a biding lease contract with your landlord.




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