Renters and tenants of business centers in Dubai are always on their toes when the renewal of their space lease is nearing. Before their lease contract expires, they need to do an in-depth evaluation whether they need to find a new office space or stick with their current provider.
The latter is always the viable option. But if you want to make the most out of your office space, learning how to negotiate your lease terms would make both parties contented. Here are some tips to help you with it:
- Negotiate a month before the lease expires
Some tenants think that they can just wing it and have their landlords agree to their lease renewal condition by giving them little room to decide. It might work in some circumstances, but not all the time. Real estate experts advise renters to schedule a negotiation meeting months before the contract expires. This would give your landlords that time to review your terms and see what adjustment that can make.
- Monitor the market
When you are planning to renew your lease, it would be best to know that current standing in the market. The shared office space dubai real estate market is also changing, due to different reasons. It can be because of changes in competitive rental rate and lower taxes. These details can help you to negotiate for favorable terms. This can help you uncover alternative solutions that would ease the negotiation process.
- Know the factors to leverage
Aside from knowing the condition of the real estate market, you need to know what are the factors you can use to get the odds to be in your favor. For example, knowing the how the renting system works. It is known that landlords earn a commission on every renewal. A tenant not renewing a lease can mean additional expenses for the building facility. Take this opportunity to leverage that knowledge to your cause.
- Include office improvements
When you are negotiating for lease terms, do not forget to include office space improvements. The point of negotiating is not only to renew your tenure, but also make changes in your office space. Be sure to list down the things you need – from amenities of new hires to improved office connectivity.
- Create a sales plan
Treat the negotiation process as a sales pitch. You need to put your best foot forward. Make sure you highlight your company and your tenure. Make sure that you list this down before you talk to your landlord.