Moving to a new location can be a challenging job and it is important to get accurate commercial lease details from the start. If you are a tenant entering into a new lease agreement, talk to your Maori land and property lawyer and consider these helpful tips to prevent pitfalls:
1. Ending Your Current Lease
Carefully review your current lease contract and check when the term is due. You should likewise see if you need to give notice to your current landlord that you are moving. Examine the contract for clauses requiring you to leave the premises in a certain condition. If you have altered anything in the area, you may need to reinstate it to its original layout.
2. Fit Out of the New Property
Will you be able to set up your new headquarters to suit your business and employees? Another important factor to consider is having to pay for two rentals while the new location is being prepared. See if your new landlord can grant you an initial rent-free period to help you catch up.
3. Terms and Renewals
Moving to a new office is a big commitment, so you will want to have the best arrangement for long-term lease and renewal. Alternatively, it would be practical if you can assign the sublet space should it end up being less than ideal.
It is likely that you will be asked to provide a personal guarantee to back up your company’s lease. Limit your guarantee amount when you can, and have it recorded that it will cease once the lease is assigned.
Before signing your new lease contract, be sure to review everything and seek legal advice. Once the lease agreement is signed, it will be difficult to change anything, and you will be bound to follow all the terms.