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Sep 8, 2015

Leasing office space without commissions

On the Czech market, probably the most common model of remuneration are commissions paid by the lessee, who is looking for real estate to lease.
However, the well-established trend on the commercial market is precisely the opposite; the lessor of the property pays the commissions.
The landlord, the owner of the building, pays the commissions. This is an established standard in the real estate market. The right to gain a commission is valid from when the lease is signed. This is the largest value for the owner when leasing an office long-term. The tenant, that means you, does not pay any commissions.

Long-term profits for the lessor

Paying commissions by landlords is both logical and fair, as they make long-term profits from the lease. From this perspective, the landlords should be the ones who who pay a brokerage to the broker for occupying their commercial property, as future tenants will provide their source of income.

Other benefits of leasing offices

The market for office space in Prague is very competitive. Landlords prepare a range of attractive incentive packages for new tenants in order to increase their occupancy rate.

What can you look forward to in a new lease agreement? This may include providing rent holidays, contributing to the internal fit out or making alterations to the offices to meet the needs of the tenants.

This means we can sincerely recommend that companies who are not currently satisfied with their leasing conditions or office space renegotiate the conditions again or think about moving.

We will help you find each and every solution for you real estate needs.

Start looking as soon as possible

The process of choosing your dream office space and its preparation vary according to the size of the company.  Is your lease contract finishing in a year and a half? Start looking for your new premises with us. The time frame is not as far-fetched as it may seem. Companies looking for larger premises should definitely start looking a year in advance, while it is a question of several years for corporations seeking thousands of square metres.

Read an article concerning the fact that searching for new premises can take longer than you think.

You do not pay commissions, but pay attention to the total costs

Determine from the beginning how much you can afford to invest in the office and what your budget is, your total expenses to calculate prior to leasing the office. Total expenses do not only include the leasing and service fees, but you also have to be prepared to count on the expenses with the fit out, furniture, IT, moving expenses and more.