What Should You Know When Leasing Commercial Space?
This is a transcript of a podcast posted January 4, 2006.
 This an interview with attorney Janet Portman, the author or co-author of several books about renting, leasing, and purchasing real property, including Negotiate the Best Lease for Your Business (Nolo).
NOLO: Janet, let’s say you’re new to leasing commercial space. Is there a number one or number two concern that a businessperson should be aware of?
 JANET PORTMAN: Of course, the first thing you think about is "Can you afford the rent?" That’s an obvious one. But a not so obvious one, and one you’re not likely to think about when you are planning to stay in the place where you’re renting, is the need to have an exit strategy which you can build into the lease. And it need not even be an exit strategy; it can be a "flexibility strategy."
You need to think about what would happen if you want to expand or if you want to contract, if you want to stay in the same place when the lease term expires, and you want some assurance that you’ll be able to do that. If you want to bring in a subtenant because you don’t need some of your space, or perhaps you want somebody to take over for a period of time during the season where you don’t need as much space.
Those are all flexibility rights that you might not be thinking about when you enter into the lease but they are very important, especially the final one, which is how do you get out early if you need to. And if you build in that kind of flexibility from the beginning, then you’ve given yourself the ability to change as conditions, and as your business, grows and changes.
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