What Credit Score is required to be eligible to Lease?
A good credit report has a credit score of at least 720, a strong payment history, and has no bankruptcies, collection accounts, or liens.
Can I lease the space through my business entity?
Businesses may be eligible to sign the Lease without a Personal Guaranty if the entity has been well established for a long period of time, has significant assets and income, and a small ratio of debt-to-income. To be considered, the business entity must provide at least two years worth of audited financials, such as Income and Expense Reports, Balance Sheets, and Tax Returns. Generally, very few businesses are eligible to sign the Lease without a Personal Guaranty from the business owner(s).
How long of a Lease Term is required?
Typically a three to five year Lease Term is required, but some spaces may vary.
Do you provide any free-rent upon move-in?
Free Rent depends greatly on the current market conditions, type of space available, and Lease Term, but is also contingent upon the other Terms and Conditions of the specific Lease Agreement. Generally, a full month of free rent will only be provided on a three year Lease Term.
What is required for move-in?
1) Signed Leases,
2) CashierÕs check or Money Order for the first monthÕs rent and security deposit,
3) Certificate of General Commercial Liability Insurance on the standard ÒACORDÓ form showing coverage of $1M per occurrence, $2M aggregate, and the Lessor of the subject property as an ÒAdditional InsuredÓ.
Which Lease Form do you use?
For most Industrial properties, the Standard AIR Industrial Multi-Tenant - Gross Lease form is used. However, please confirm the form used for the specific property in question.
Does the Security Deposit cover the last monthÕs rent?
No, the Security Deposit is not the last monthÕs rent. Tenant must pay rent at the beginning of each and every month, including the last month, as required by the Lease Agreement.
What if the Rent is paid late?
Rent is due (not postmarked) on or before the first day of every calendar month. If payment is not received by the 5th day of the calendar month, a late fee equal to 10% of the rental amount, or $100, whichever is greater, is imposed.
What are the TenantÕs maintenance responsibilities?
Industrial Tenants are responsible for the maintenance of all doors, windows, interior electrical systems and fixtures, interior plumbing systems and fixtures, HVAC systems, interior walls, floor covering, ceiling (foil, tiles, etc.), and any other interior surfaces. If the unit has a central HVAC system, the Tenant must obtain a regular maintenance contract with a qualified HVAC service company. Maintenance of the Fire Sprinkler system (if applicable) and Fire Monitoring system depends on the property. Please confirm the Tenant responsibilities for the specific property, or other types of properties (ie: Office or Retail).
Which Utilities are the responsibility of the Tenant?
For most Industrial properties, Tenants are responsible for their own electric, water, and gas service accounts, as well as any phone, internet, security systems, or other services required for the TenantÕs business. Trash collection varies by property, so please confirm.
Do you Charge Common Area Maintenance (CAM) Fees?
For properties with smaller units (generally under 5,000 sq. ft.), CAM fees are usually included in the Base Rental Rate. On other properties, monthly CAM fees are charged in addition to the Base Rent. For Office properties, CAM fees are charged annually, and are calculated differently than for industrial properties. Please confirm if there are any additional CAM fees for the property in question, and what expenses any CAM fees cover.
When do I have access to my Leased space?
Generally, all properties have 24/7 access. For properties with closing security gates or locking main entrance doors, Lessor is not responsible for providing after-hours access to TenantÕs employees, guests, clients, etc.
Can I store my company vehicle, trailer, truck, boat, RV, van, etc. at the property?
Storage of vehicles or other items in the Common Areas, including parking lots, is strictly prohibited. Any offending vehicles will be towed at the vehicle ownerÕs expense. Storage of vehicles inside the Leased unit may be allowed only if it is explicitly agreed to, and specifically noted, in your Lease Agreement.
What if I need to cancel my Lease early?
The Lease may not be cancelled early. The Lessee must plan accordingly and account for the entire term of the Lease when signing a Lease Agreement.
What if I need to expand during my Lease Term?
Existing Tenants in good standing are given priority in Leasing additional units or space that become available in the same complex. Prior to the expiration of their existing Lease Term, a Tenant may also be allowed to move from a smaller space to a larger space in the same complex, but will be required to sign a new Lease on the larger space.
What happens at the end of the Lease Term?
Tenant must give at least 30-days written notice to the
Lessor that Tenant will be vacating the space. On or before the Expiration Date, the
1) Return the unit to the same condition as upon TenantÕs move-in. All furniture, inventory, racks/shelves, and trash must be removed from the space.
2) Leave any fixtures in good, working condition, and properly attached to the space (toilets, sinks, lights, gates, HVAC units, electrical panels and equipment, kitchen hoods, etc). Note: any Tenant-installed fixtures that it plans to remove at the end of the Lease Term must be approved by Lessor in writing prior to installation.
3) Deliver all keys (and remotes, if applicable) to Lessor.
When will my Security Deposit be reimbursed?
Assuming Tenant has followed the above move-out requirements, the Security Deposit will usually be refunded within two weeks of returning the keys to the Lessor. If, however, the Lessor must use any of the Security Deposit to return the unit to its original condition, the remaining portion (if any) of the Security Deposit will be returned to Tenant upon completion of the work and calculation of the total deduction.