2. Qualifying commercial tenants
can be a difficult process.
Dealing with businesses that
may have no history or
individual business owners who may not have
experience running a business can make it
difficult to select tenants. Following are three
questions a landlord needs to consider before
leasing a commercial space to a tenant:
3. 1.Is the business owner serious
about moving or expanding his
or her business? Both established
and new business owners have
their own motivations for selecting a space to lease.
Does the lease offer options for future expansion of
the space? As the landlord,
you want to ensure that the
tenant is committed to the
space for the term of the
lease and perhaps even
beyond.
4. 2.Is the business owner financially capable of
supporting the lease? A thorough inspection of
the prospective tenant’s financial information is
essential.
5. 3.Does the tenant meet the
qualifying criteria? Every
landlord will have slightly
different criteria. He or she may
consider only non-competing businesses within a
retail plaza, or he or she may want to lease to
businesses that will require minimal changes to
the structure of the space. Regardless, the
landlord needs to clearly identify and stick to his
or her qualifying criteria.
6. The difficult process of qualifying commercial
tenants can be simplified if you know what
questions to ask before negotiating a lease with
a potential tenant.
