How Long are Commercial Lease Terms?

Most landlords would like to lock you into long-term leases with periodic escalations in rent — but how you structure your lease might have a lot to do with how long you have been in business or whether you are just starting out. You might want a shorter initial term and several renewal options. You might need to anticipate staying in one location for the length of a franchise agreement. You might negotiate a long term at a lower rate so that you can assign the lease to a potential owner — although you need to make certain that you can assign the lease under the terms of the lease agreement. Your broker and your attorney can help you negotiate just the right term of lease for your particular situation.