Want to know what to look out for when negotiating a lease for a new urgent care location? Patrice Pash walks you through the lease negotiation process.
Hey, everyone. I'm Patrice. And today we're going to talk about some things to look out for when you're negotiating the lease on your new location.
One of the first things that you should consider is rent abatement.
Rent abatement is just simply getting a break from your lease payments when you're first starting out. And this can be very important.
You know, in those early days, there's a lot of expenses going out the door. And having a break from just paying that rent could be a huge bonus for you.
So when you're first negotiating that lease, talk to the lease holder or the landlord about getting a break maybe for the first three to six months on that rent coming due.
The second thing to take a look at is signage allowances. Now signage is very important. This is the number one thing that you're going to do in this new urgent care from a marketing perspective.
And not having signage addressed in that lease negotiation is extremely important.
You need to know what can be allowed, how much of a sign that you may have on the monument, perhaps, that's out front.
Can you have signage on the facade? And what size, what colors, may be tolerated.
Don't forget, however, that just because you negotiate signage allowances in the lease, you still may have to check with the local municipality to see what's permitted in your area.
The third thing to consider is tenant improvement allowances. You're going to have a huge expense with the build out of your new facility.
So perhaps negotiating some tenant improvement allowances, or money, basically, that the landlord or the lease holder is going to give you back to improve this property can be very important and reduce some of that money, that bottom line, that you're going to need upfront.
And, finally, the term of the lease, or renewals, moving forward is extremely important to discuss in negotiating this lease. For instance, how long is this lease going to last? Is it going to be three years, five years, 10?
And when will the renewal come around? One thing you want to be very careful of is to be sure that somewhere along the line as the lease comes for renewal, that it doesn't get taken out from underneath you by a greedy landlord or, perhaps, just someone who sees the value that you've built up in this place. So assuring right from the start that you're always going to have the first right to renew this lease is extremely important.
So following these four things when you're negotiating a lease can help you put together a very successful urgent care.
Join us next time when we're going to be talking about having an attorney review your lease. Thanks very much for joining us. We'll see you next time.