Can you elaborate on what you mean by 'exchanging their home'? Would they uh... I give up.
On Fri, Jan 20, 2012 at 10:53 AM, bruce edward Whitaker < [email protected]> wrote: > Thanks all. Your euggestions are excellent ones. > > One additional question, have any of you considered exchanges whereby > someone may be willing to exchange their home + working space for a period > of time? > > On Fri, Jan 20, 2012 at 2:12 AM, Jerome Chang <[email protected]>wrote: > >> In broker terms, free rent is "rent abatement". Rent abatement, [less] >> security deposit, TI [tenant improvement] allowance, etc. are all "lease >> concessions". All those are just different ways you can generate favorable >> lease terms. Some landlords are more willing to give cash equivalent terms >> (ie., rent abatement) than actual cash (ie., TI allowance). A broker will >> sniff out those motivations. >> >> >> Jerome >> ______________ >> BLANKSPACES >> "work FOR yourself, not BY yourself" >> >> www.blankspaces.com >> ph: 323.330.9505 | 5405 Wilshire Blvd (2 blocks west of La Brea) Los >> Angeles, CA 90036 >> >> On Jan 19, 2012, at 11:10 AM, bruce edward Whitaker wrote: >> >> Thank you all. Wonderful advice! >> >> We have been offered 3 months free rent because of the situation of the >> landlord - the space is above an old railroad station and hasn't been >> rented for almost two years. I am thinking that we can propose a 1 year >> lease and keep the 2 year as a back-up to get more favorable pricing. >> >> As for an investment in furnishing the workspace, we are entering into an >> agreement with the local municipality/economic development and a government >> funding source for corporate memberships allowing them to use the space >> within defined parameters. This way we don't have a loan and can get >> recurring rent from them each year. >> >> Like your idea of a full service lease making the prediction of cash >> flows that much easier. >> >> Also appreciate the comment around security for the doors. >> >> Will also factor in the security deposit. Thanks. >> >> Does anyone have a lease template as the landlord has asked me to make an >> offer? >> >> Bruce >> >> On Thu, Jan 19, 2012 at 1:29 PM, Bruce Yang <[email protected]> wrote: >> >>> In regards to leases, wouldn't it be better to get a longer term lease? >>> >>> Let's say you get a 1 year lease at $40sf. Then a year passes and market >>> rates go up to $43, then $45 etc. That can have a very real and huge impact >>> on your space. the economics rapidly change with even a few dollars per sf >>> change. >>> >>> Invesment: Let's assume you spend $20K on furnishing your new coworking >>> space. There is almost no way you can earn back that amount in the first >>> year. If you have to move after 1 year, you have to start all over. >>> >>> A good reason to get a short lease is If you have put a personal >>> guarantee on the lease... That's scary and a 1 yr lease lessens your >>> liability. >>> >>> Try to get a full service lease. That simplifies planning by a lot. You >>> basically pay 1 amount for "everything". >>> >>> Also don't forget to consider security deposit. For a company with no >>> operating history and no assets, a landlord might ask for 6 months security >>> deposit. A sublease might ask for 1-3 months. >>> >>> I'm curious about months of free rent. Is this normal? How many free >>> months did you guys get? >>> >>> Bruce >>> >>> On Jan 19, 2012, at 12:06 PM, Angel Kwiatkowski <[email protected]> >>> wrote: >>> >>> > Best if you have a commercial Realtor. It's never too late to get one >>> > to help with your lease negotiations. >>> > - length of lease (1 or 2 years). >>> > I think a new space should try to get as short as possible. Our first >>> > 2 leases were each 1 year. Now that we're more established, we are on >>> > a 2 year. >>> > - is insurance included and what does it include? >>> > You'll likely need to get your own insurance to cover your belongings >>> > in the space. You can also have your members who leave property in the >>> > space get their own renter's insurance >>> > - what about taxes and utilities. >>> > You'll need to be real clear about what extras you have to pay on top >>> > of rent. I've been lucky to get a "Gross" lease each time which means >>> > I write one check each month and it includes, rent, utilities etc >>> > except internet which we pay for separately. A NNN lease can be a >>> > nightmare especially if they don't have an accurate estimate of what >>> > heat/gas/electric/water/trash might cost each month. A NNN lease can >>> > add almost 50% extra to the price of your monthly rent. Landlords also >>> > pass their property taxes and building improvements on to you in a NNN >>> > so they make me real nervous most times. >>> > - improvements to be included. >>> > Yes, you'll need to make sure that each party's responsibilities are >>> > fairly and accurately represented. What out for phrases like "tenant >>> > will pay for any repairs or maintenance on plumbing, heating, >>> > electric." <----also a crappy part of NNN leases. >>> > - months of free rent. >>> > Of course. >>> > - security of location. >>> > Try to get your landlord to buy the access system that you choose for >>> > the building. You likely won't take it with you when you leave. My new >>> > landlord threw down $2,000 for our electronic locks b/c he knows he'll >>> > keep them if we leave and it makes his property management easier with >>> > multiple tenants. >>> > - etc., etc. >>> > >>> > Long story short--get a commercial Realtor. You won't pay them >>> > anything, the landlord will :) >>> > >>> > On Jan 17, 2:43 pm, bruce edward whitaker <[email protected]> >>> > wrote: >>> >> We are about to put in an offer on a vacant space to house a new >>> >> coworking group. Any and all items to include in the offer would be >>> >> very much appreciated. Some that I can think of: >>> >> >>> >> - length of lease (1 or 2 years). >>> >> - is insurance included and what does it include? >>> >> - what about taxes and utilities. >>> >> - improvements to be included. >>> >> - months of free rent. >>> >> - security of location. >>> >> - etc., etc. >>> >> >>> >> Even better if anyone has a lease I would love to see it. >>> >> >>> >> Hoping everyone is well today. >>> >> >>> >> Bruce >>> > >>> > -- >>> > You received this message because you are subscribed to the Google >>> Groups "Coworking" group. >>> > To post to this group, send email to [email protected]. >>> > To unsubscribe from this group, send email to >>> [email protected]. >>> > For more options, visit this group at >>> http://groups.google.com/group/coworking?hl=en. >>> > >>> >>> -- >>> You received this message because you are subscribed to the Google >>> Groups "Coworking" group. >>> To post to this group, send email to [email protected]. >>> To unsubscribe from this group, send email to >>> [email protected]. >>> For more options, visit this group at >>> http://groups.google.com/group/coworking?hl=en. >>> >>> >> >> -- >> You received this message because you are subscribed to the Google Groups >> "Coworking" group. >> To post to this group, send email to [email protected]. >> To unsubscribe from this group, send email to >> [email protected]. >> For more options, visit this group at >> http://groups.google.com/group/coworking?hl=en. >> >> >> -- >> You received this message because you are subscribed to the Google Groups >> "Coworking" group. >> To post to this group, send email to [email protected]. >> To unsubscribe from this group, send email to >> [email protected]. >> For more options, visit this group at >> http://groups.google.com/group/coworking?hl=en. >> > > -- > You received this message because you are subscribed to the Google Groups > "Coworking" group. > To post to this group, send email to [email protected]. > To unsubscribe from this group, send email to > [email protected]. > For more options, visit this group at > http://groups.google.com/group/coworking?hl=en. > -- You received this message because you are subscribed to the Google Groups "Coworking" group. 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