How to properly rent out commercial premises. Developing a client base

06.08.2020

It would seem a simple process of finding premises for commercial rent and the contracting process. But, unlike rental housing, this area of services is subject to different laws and regulations. To resolve this issue, some businessmen hire a person who searches for suitable real estate.

This is done for many reasons, since the important parameters in the choice are: city district, presence of competitors, floor, type of premises, availability of communications, area and other important parameters. But to conclude a lease agreement for commercial real estate, discuss the terms of the lease and sign the agreement document itself, it is better to hire a lawyer.

The legislative framework

The entire rental process is regulated by the Civil Code Russian Federation, or rather Article 34 “Rent”. According to the law, all conditions that arise during the rental process are written down in the rental document - an agreement that is concluded between the client (tenant) and the landlord.

The most basic responsibilities of the landlord are considered to be maintaining the leased premises in good order, independently carrying out major repairs, in accordance with the Civil Code of the Russian Federation, Article 616. The same article also outlines the responsibilities of the tenant - carrying out cosmetic repairs, maintaining cleanliness and order in the premises, paying all current expenses.

The landlord can lease commercial real estate under other conditions, but then they must be specified in the lease agreement. For example, the landlord may shift its responsibilities for major repairs to the tenant or vice versa.

It is best to involve a lawyer in this process who will understand all the provided real estate papers and help conclude an agreement on mutually beneficial terms. Hiring a qualified lawyer can help identify unauthorized violations that could be included in the businessman's expenses in the future.

Non-legalized redevelopment may become such an unnecessary expense item. A more serious case would be renting a commercial complex with plots of land and several premises. It is important to check the presence of all necessary papers for all objects and the absence of additional rent for part of the premises or the presence of deposits.

It may take too much time to put documents in order, register and sort out relationships with other tenants, and the best option may be to choose another premises.

Property Search

One of the most difficult tasks is to find a suitable property, preferably without intermediaries.

The first thing citizens do is turn to printed publications, which are full of advertisements for the rental of non-residential premises. Typically, 90% of them are agencies, and only 10% are property owners. For greater convenience for businessmen, such advertisements have begun to be placed on Internet resources, in particular on Avito, commercial real estate rentals are provided with a photo and address of the premises.

Such resources are convenient because using filters you can immediately discard all options that do not fit the search criteria. For example, select all offers for renting office space in a certain city or area, and the system will automatically return all suitable offers, which will significantly speed up the search process.

The commercial real estate rental market is divided into premises for different purposes:

Office.
Trading.
Warehouse.
Production.

Therefore, before you start your search, decide what type of real estate you need to choose, in what area of the city, what area, number of floors and other important parameters. Having defined the entire set of conditions, it will be easier for the searcher to formulate his request.

If the search process is not included in the plans, you can entrust this matter to an intermediary. Typically, the services of such companies are paid at a rate of full or half the cost of the monthly rent. But it is advisable to initially sign an agreement with them and determine payment for services only after selecting the premises, so that they are also interested in the timing and quality of their work.

The process of concluding a contract

This is an important process that is best done with a lawyer. Before signing the documents, you must carefully read and discuss all the terms of the lease. Check the owner's documents: a document on the right to dispose of real estate, a floor plan and the statutory documents of the legal entity that owns the property. After checking the documents, discuss all possible rental conditions:

Communal payments.
Telephones and Internet access.
Cost of monthly rent.
Rental periods.
Force majeure circumstances.
Minor repair work.
Major renovation.
Conditions for termination of the contract.

Discuss who will be assigned a specific obligation and the time frame within which it must be completed. All conditions must be recorded in the lease agreement for commercial real estate.

Signing the contract

It is best to draw up an agreement and discuss the terms personally with the owner of the property when renting without intermediaries. In this case, pressing issues are resolved more easily and quickly, and there is the possibility of concessions on the part of the lessor.

When drawing up the text of the contract, a mandatory clause must indicate the full physical address of the property, details and details of the owner. If possible, you should request a floor plan and attach it to the document, especially if redevelopment has been carried out.

The document must be signed in several versions by both parties. Only a document of a certain sample will be able to confirm the terms of the lease and the process of renting the premises.

The duration of the lease may be specified, but if it is not specified, the agreement is considered to be concluded for an indefinite period of time. Don't forget to indicate the exact amount of the rent. Without the specified cost of renting commercial real estate, the transaction is considered not concluded. To take into account currency changes, it is necessary to indicate a possible percentage increase in the rental price, but not more than once a year.

Object transfer process

Another important document after the lease agreement will be the act of transfer of real estate by the landlord to the tenant. The day of signing such an act is considered the beginning of the lease. The act must be signed only after a thorough inspection of the building or premises. If a malfunction is noticed during inspection, it should be recorded in the report. By doing this, you can protect yourself from unnecessary expenses that will then fall on the tenant.

In addition, such an analysis of the premises before renting commercial real estate will make it possible to demand that the landlord eliminate the noticed defects free of charge, or reduce the rental cost by a certain amount. If the condition of the property seen does not satisfy the client in any way, he can quite rightly demand termination of the contract.

Remember that upon expiration of the contract, the lessor will take over the property according to the deed that was concluded on the day the premises were accepted for rent. And if there are no faults recorded there, then the landlord can legally demand that they be corrected at the expense of the tenant. Conversely, if during the rental period positive changes were made in the conditions of the premises, the tenant has the right to demand reimbursement of expenses incurred. Therefore, carefully record all the terms of the lease in the contract.

Renting non-residential premises, for example, for a store, involves searching for a suitable property and concluding a written agreement. It is necessary not only to fill out all its sections correctly, but also to follow the exact sequence of actions. How to pass it correctly non-residential premises from a legal point of view?

Legislation

Issues of leasing non-residential properties are regulated by the Federal Law “On State Registration of Rights to Real Estate and Transactions with It” and the Civil Code of the Russian Federation. According to the law, non-residential objects include those that are part of buildings, but are not suitable for living.

The owner can independently rent out non-residential premises on a contractual basis. It can only be in writing. If the lease is for a period of up to 12 months, the agreement does not have to be registered. If the lease is issued for a period of more than 1 year, the agreement should be registered in the prescribed manner with Rosreestr. Landlords undertake to pay taxes on rental income within the time limits established by law.

Sequencing

The owner has the right to rent out non-residential premises in an apartment building, office or shopping center. It is necessary to know the sequence of actions that must be followed by both parties to the transaction.

Selection of real estate

Finding a suitable property is the most difficult stage. The tenant selects premises based on such parameters as transport accessibility, infrastructure and traffic. The search can be carried out through real estate agencies and specialized websites. Experienced businessmen devote a lot of time to this process.

The non-residential real estate market is divided into premises for the following purposes:

Office;
Trading;
Production;
Warehouse.

It is necessary to initially decide on the type of property, location, number of floors and area. It is easier to formulate a query when this data becomes clear. After selecting several options, the future tenant inspects the premises. This is a necessary step. The landlord must present the premises from its advantageous perspective. But you should not hide existing shortcomings, as they may appear later. This could lead to the termination of the lease agreement.

If there is no time to search for premises, the tenant can delegate this work to a trusted person or intermediary. All details and required parameters are provided. These are paid services that are paid in the amount of 50 to 100% of the monthly rent. An agreement must be concluded with the intermediary. Payment must be made after selecting a suitable premises.

Conclusion of an agreement

It is better to involve a lawyer in this process. He will help you draw up the contract correctly and explain controversial issues, as well as check the legal purity of the transaction. You can do this work yourself. Before signing the contract, you must request the following documents:

property documents;
floor plan;
owner's charter documents.

After checking the documents, you should discuss the terms of the lease. They may relate to the following points:

payment of utility bills;
the amount of rent;
deadline for delivery of the premises;
availability of telephone communication and Internet access;
carrying out repair work;
conditions for termination of the contract.

It is important to discuss which party is assigned each item and within what time frame the obligations are fulfilled. The agreements reached are stated in the contract or in the form of additional agreements to it.

It is important to include a clause in the contract regarding actions in the event of force majeure.

It is better if the tenant and the landlord sign the agreement in person without intermediaries. In this case, it is easier to resolve controversial issues; the parties can make some concessions. When drawing up a contract, it is important to fully include information about the property. They must include the full address, floor, area of the premises. The agreement should be accompanied by a floor plan. Only in this case can the agreement be considered valid.

The agreement is signed in 2 copies if the lease is provided for a period of up to 12 months. If a long-term lease of 1 year or more is planned, 3 copies of the agreement are signed. One copy each remains with the landlord and the tenant. Another copy remains with the registrar.

Transfer of premises

After signing the contract, a transfer deed is drawn up from the landlord to the tenant. The day it is signed will be considered the beginning of the lease. The act is signed only after the premises have been completely inspected. If a malfunction is discovered during inspection, it is recorded in the report. This allows you to avoid unnecessary expenses in the future.

The analysis allows you to require the tenant to eliminate defects and malfunctions, reduce rent. Therefore, it is better for the owner to tidy up the premises and communications in advance. After signing the transfer deed, the tenant can fully use the premises and conduct business activities.

According to current legislation, the contract must contain the following basic conditions:

The parties to the agreement are the tenant and the landlord. In accordance with Art. 608 of the Civil Code of the Russian Federation, the right to rent out non-residential premises belongs to the owner.
Subject of the agreement. Detailed characteristics of the premises are indicated. In accordance with paragraph 3 of Art. 607 of the Civil Code of the Russian Federation, in the absence of them, the agreement is considered invalid.
Terms of use of real estate. They can be recorded in as much detail as possible. It is indicated who is obliged to carry out cosmetic and major repairs.
Payment. The payment amount is fixed. Without this, the contract is considered gratuitous, and this is not permissible for rental agreements.
Validity. It is determined by the parties by mutual agreement. If it is not specified, the contract will be considered concluded for an indefinite period.

An agreement whose validity period is less than 12 months is not subject to mandatory registration. If, after its expiration, another agreement is concluded for a similar period, registration is also not required. An agreement for a period of 12 months is subject to mandatory registration. But it is important to take into account that, based on Articles 619 and 620 of the Civil Code of the Russian Federation, early termination of the contract is possible.

The tenant can transfer the real estate under a sublease agreement. But this is possible only with the consent of the landlord, who is the owner of the property. The sublease agreement must also be registered in accordance with the procedure established by law.

But it is important to consider that early termination of the lease agreement is possible. Both the landlord and the tenant have this right. In fact, the parties to the transaction have complete freedom of action. But the contract must contain the grounds on which early termination is possible.

There are the following features of sublease:

The validity period is limited to the duration of the lease agreement with the owner;
If the lease agreement is terminated, the subtenant has the opportunity to renew the agreement with the owner before the end of the sublease period on the same terms;
If the contract is concluded for a period of 12 months or more, it must be registered.

The following rights and obligations of the tenant are highlighted:

Monitoring the use of premises for their intended purpose.
Timely payment of rent.
Carrying out repairs by agreement of the parties.
Maintaining the premises in proper order.
Drawing up a transfer deed with the subtenant.

In case of any violation of accepted obligations, each party to the transaction has the opportunity to terminate the obligation before the end of the contract.

Required documents

For contracts concluded for a period of 12 months or more, state registration is carried out. To do this, the following package of documents is generated:

application of the established form;
lease agreement with all attachments;
cadastral passport;
Russian passports - for individuals, title documents - for legal entities;
power of attorney, if the documents are submitted by a representative;
notarized consent of the spouse, if the object is jointly owned or was acquired during marriage;
permission from the guardianship and trusteeship authority, if the property is registered in the name of an incapacitated or minor citizen;
written permission from the pledgee if the property is pledged;
receipt of payment of state duty.

Taxes

Taxes are provided for the rental of non-residential premises. The optimal tax regime is a simplified taxation system. Special tax regimes not only make accounting easier, but also have a lower tax burden. The following features apply:

if the cadastral value is determined and a special regional law is in force, tax is paid on office, administrative and retail real estate;
locally the rate is 2%.

If a special law has not been adopted at the local level, the following rates are established for entrepreneurs using the simplified taxation system:

simplified tax system 6% - from total income;
STS 15% - from income minus expenses.

If the organization is on the general taxation system, a high tax burden is established. In this case, the rental business is not profitable. Traditionally, three main taxes are established:

on the profit of the organization and personal income tax for individual entrepreneurs - 20% for legal entities and 13% for entrepreneurs;
for property - 2% based on the cadastral value and 2.2% when calculating the residual value;
on added value - 18%, if quarterly revenue is more than 2 million rubles.

How to avoid paying taxes on income received from renting non-residential real estate? On the one hand, the legislation establishes the obligation to pay taxes on all lease agreements. If the contract is drawn up for a period of 1 year or more, it is registered in Rosreestr. This information is transferred to the tax service in accordance with the information exchange agreement. If the agreement is drawn up for a period of up to 1 year, the tax service will have to prove the fact of lease, which is not always possible.

Current legislation provides for administrative and criminal liability for carrying out illegal business. Criminal liability is established if illegal business activities are carried out or large profits are made in the amount of 1.5 million rubles.

When a violation is found, judges take into account the person’s specific circumstances and many other factors. As a rule, there are no problems in the case of renting an apartment or country house. If a non-residential property is for rent, several signs of entrepreneurial activity can be identified. If the premises are purchased directly for rent, the activity requires registration, as it is recognized as entrepreneurial.

The same applies to rent long term or to contracts that are renegotiated many times. This sign is interpreted as a fact of systematic and intentional profit-making from the ownership of a non-residential property. If these signs are detected, the citizen is recommended to register an individual entrepreneur. In this case, the tax is 6% of the total income. Personal income tax is 13%.

The owner of the premises must file tax returns annually.

Thus, renting non-residential premises has its own number of features. It is necessary to draw up a legally competent agreement, provide for all the specifics of the agreement and pay taxes on time. This will allow you to avoid problems in the future and legally make a profit.

Leasing commercial real estate is one of the most profitable types of business and is almost always in demand. Many small firms and beginning entrepreneurs are looking for office space to house themselves and organize their business. Their desire to buy a roof over their head, and for relatively little money, allows them to receive a constant income from renting out space. In addition to small entrepreneurs, often the premises can easily be rented out for small shops, where former owners of small kiosks and trading places in industrial markets are increasingly forced to leave.

A striking example of the success of the commercial real estate rental business is the numerous office buildings filled to capacity with small firms.

The attractiveness of this direction also lies in the fact that its organization usually requires only initial investments, and all ongoing costs can be passed on to customers. Naturally, to create such a business, you must have a suitable property.

For the reliability of the enterprise, it is advisable to purchase such an object as a property so as not to depend on the whim of its owner.

However, if there is a lack of funds, you can rent a building, subject to the right to sublease its space. Often, for the owners of a building, renting it out entirely is more profitable than painstakingly searching for many small tenants and formalizing relations with them. This is all true, but still, a decrease in the share of profit significantly affects the overall profitability of the project, so purchasing a building as a property is always a priority compared to renting, and carries fewer risks for the entrepreneur.

It is absolutely not necessary to choose real estate in the city center, where their cost exceeds all imaginable limits.

It is often much more profitable to buy a building or premises on the outskirts of the city or somewhere in a residential area, which will require a significantly lower level of investment.

The only important condition when selecting real estate is the availability of public transport stops nearby.

A good option for purchasing such an object are old abandoned buildings of bankrupt industrial enterprises, offices shopping centers. The poorer the technical condition of a building, the cheaper it can be purchased, which is what many entrepreneurs who make money by renting out commercial real estate take advantage of. On the other hand, if there are sufficient funds, sometimes it is easier to erect a new building, planning in advance its space for renting out.

When renovating an old premises or equipping a new one, it is necessary to take into account the specifics of renting out commercial real estate.

Since the premises of the office building will be rented to different tenants, it is necessary to provide for separate communications and the possibility of disconnecting any room from heating and electricity in order to avoid unnecessary costs for empty space. In addition, it is advisable to pre-design common areas, toilets, eating areas, and locations for shared office equipment. This will create comfortable working conditions for small businesses and increase the attractiveness of real estate. As a rule, tenants do not have any special requirements for the finishing of premises, so repairs and finishing can be done using cheap building materials. This reduces the amount of investment required.

Particular attention must be paid to connecting modern communications, especially high speed internet, as well as wi-fi organizations.

Moreover, among the tenants it is beneficial to have an accounting firm, as well as a company offering office services: photocopying, printing texts, and so on. This makes it possible to provide tenants with the necessary office services and fully fill all the premises for rent. To attract clients, you can also use common areas, the lobby of an office building, allowing tenants’ advertising products to be placed in them, installing special advertising structures for this purpose.

An excellent addition, from the point of view of technical equipment, is also the connection of mini-PBX and the provision of urban telephone numbers, which will help secure permanent tenants in the designated areas.

When organizing a business for leasing office real estate, it is necessary to pay special attention to the legally correct execution of contracts and the possibility of recovering damages from unscrupulous tenants. The efficiency of leasing office real estate is confirmed by experts who estimate the growth of rental rates by approximately 10% per year. Experience shows that it is possible to recoup investments in the creation of an office real estate center in 2-3 years.

Naturally, for the proper organization of a business it is necessary, which can be ordered on our website.

Leasing a commercial property is not difficult, and most importantly, profitable. With the right approach and knowledge of the main stages of the process, concluding a deal will not be difficult.

The most important thing is to decide on the price, find a client and correctly draw up the contract.

Let's consider all stages of the transaction.

Determination of cost

When conducting a transaction independently, determining the cost of rent is often not objective.

Every owner wants to get the greatest benefit.

But too much high price may scare away potential tenants, and too low may raise doubts. Typically, owners turn to specialists - a realtor or appraiser - for an assessment of the value.

How to rent out non-residential premises yourself? You can do it without the help of professionals. To determine the price yourself, you need to study similar offers from competitors. This will make it possible to understand the general situation on the commercial real estate market and correctly evaluate your premises.

IMPORTANT: The tenant rents a commercial property for the purpose of generating income, so when assessing the cost, it is important to take into account the approximate possible profit that he can receive.

The price is influenced by factors such as:

After taking these points into account and monitoring competitors’ offers, you can objectively evaluate your property.

Search for a client

Leasing commercial real estate from the owner involves searching for potential tenants.

Before doing this, you need to make a commercial offer or advertisement.

It must indicate in detail all the characteristics of the property: area, floor, location, infrastructure, technical condition and equipment. It is better to focus attention in the ad on the advantages.

At the same time, it is important to indicate the shortcomings of the room, so that when viewing you do not put yourself in an awkward position and do not frighten off the client.

Let's take a closer look at ways to find potential tenants.

Search by friends. The easiest way to find a person interested in your proposal is to ask friends and relatives. Often, property owners move in business circles, which means this simplifies the task of quickly renting out their property.
Placing an ad on specialized Internet resources, for example, Avito. The advantage of this method is that your proposal will be seen by hundreds, or even thousands, of interested parties. To find a tenant as soon as possible, you will need to write a good, detailed advertisement, describing all the pros and cons of the premises.
The advertisement must be accompanied by several photographs.
This will make it easier for a potential client to decide whether it is worth considering or not.
Sending an offer by email. Bars, restaurants, shops, salons and other organizations and establishments are often looking for premises to move or open another location. You can find out the email addresses of business owners who may be interested on the official websites of their companies.

Presentation and signing of the document

Proper presentation of your property is the key to quickly concluding a deal.

When showing the premises, try to tell more information about it, focusing on the advantages and possible profit that the object will bring to the client.

Concluding an agreement is the last, but most important and responsible step in the transaction. A correctly drawn up and executed document will protect the owner from an unscrupulous tenant. What should be included in it:

personal information of the tenant and owner;
address, area and technical specifications;
registration data;
deadline;
the amount of payment and the procedure for its transfer;

IMPORTANT: By law, the owner does not have the right to increase the fee more than once a year. Therefore, the contract must indicate the maximum amount of a possible rent increase and the period during which the tenant will be notified about this.

It is important in the document to describe in detail the rights and obligations of the parties and indicate the nature of liability for violations of each clause. It would be useful to supplement the agreement with an inventory of the property available on the premises. After termination of the contract, the owner will be able to receive monetary compensation if the furniture or equipment was damaged by the tenant.

The fastest ways to rent out non-residential premises

How to quickly rent out commercial real estate?

For those who do not want to spend personal time searching for clients, negotiations and showings, it is better to contact a realtor.

He will evaluate the property, set the correct market value, take attractive photographs, draw up a competent ad and will present your property himself.

However, even working with agents has its own nuances. As a rule, realtors work for a commission from the amount of the rental or sale of real estate.

The fee, in the form of a percentage, is usually taken from the applicants, not the owners.

However, not every applicant will be ready to cooperate with an agent who will have to pay money.

Therefore, if the owner urgently needs to find a tenant, he can pay the commission himself. This is often practiced if the owner has many properties or wants to rent out luxury real estate.

The money paid to the agent will not only go into his pocket, but also for necessary expenses - photos, video presentations, advertising, etc.

Another quick way to rent out a non-residential building or office is to reduce the cost. At the same time, it is not necessary to rent it out for next to nothing; it is enough to reduce the payment by 10%. Then your offer will be competitive.

Rental periods

The validity period of a lease agreement for non-residential premises is an important point. It comes in three types.

According to the Civil Code of the Russian Federation, Article 610, paragraph 2., if the contract does not specify a period, then it is considered concluded for an indefinite period. In this case, each party has the right to terminate it at any time, giving three months’ notice of its decision.

A short-term contract is concluded for a period of no more than a year. How to renew a lease agreement for non-residential premises? The extension occurs automatically for an indefinite period if both parties are satisfied with everything.

In this case, a re-conclusion of the agreement is not required. In some cases, the owner may insist on a new document to change the terms or payment. This is only possible with the consent of the tenant.

A long-term agreement is subject to registration with the Federal Reserve System. The extension of such a lease agreement for non-residential premises occurs in the same way as a short-term one - automatically, with the same conditions, rights and obligations of the parties, or a new document with changed requirements is concluded.

Early termination of a tenancy agreement for a certain period is possible both on the part of the owner and on the part of the tenant.

Such issues are resolved in court or by mutual agreement of both persons.

Knowledge important nuances and opportunities for leasing commercial real estate will help you conclude a profitable and safe deal that brings regular passive income.

Leasing commercial real estate and concluding an agreement for such a transaction is not too complicated. However, compared to residential rentals, this area of the real estate market is governed by different laws and regulations. Leasing commercial real estate is a profitable business, but many owners of large office buildings and commercial properties with a small area often face the problem of finding bona fide tenants. If the solution to this issue is relevant to you, then ours will be very useful for you: it will talk about how to rent out premises, do it in the shortest possible time and with the greatest benefit.

Legal basis for leasing commercial real estate

Before we look at how to rent out commercial real estate, let’s look at the legislation regulating these actions. The process of transferring commercial real estate for paid use is regulated by the Civil Code of the Russian Federation(v. 34). In accordance with this legislative act, the conditions arising during the process of drawing up an agreement are reflected in the lease agreement - the main document confirming the agreement between the owner and the tenant.

Commercial real estate rental

The main responsibility of the owner of real estate is maintaining order and proper condition in the rented premises. So, for example, Art. 616 of the Civil Code obliges the landlord to independently carry out major repairs within a certain time frame. The same article also outlines the responsibilities assigned to the tenant, including cosmetic repairs of the premises, timely payment of current utility bills, and ensuring order inside the premises.

The lessor is assigned the right to rent out commercial properties on other terms, which must be specified in the lease agreement. For example, the landlord can shift the responsibility for carrying out major repairs to the person using the premises on a lease basis, or assume the responsibilities of the tenant.

Stages of real estate delivery

With a competent approach and understanding of all the intricacies of leasing commercial properties, almost every landlord will be able to cope with the issue of how to independently rent out non-residential premises. Let's look at the procedure, describing in detail what needs to be done to conclude the most profitable deal.

When renting out real estate, the main thing is to establish optimal price, find a bona fide tenant and competently prepare documents for transferring the property for rent!

Determining the rental price

This is the first and extremely important stage. If the lessor personally conducts the transaction, the establishment of rental value, as a rule, will not be completely objective. Since any lessor plans to receive maximum benefit. But an inflated price scares away potential tenants, while an underestimated figure will raise certain doubts. Many owners of commercial properties turn to specialists (realtor/appraiser) for help, although today many analyze similar offers posted on special sites, for example, Avito, Cyan and other online platforms. This allows you to understand the current market situation and fairly evaluate your own premises.

Remember! Renting a room for conducting own business, the potential tenant expects to make a profit from it. That is why, when evaluating a premises, you should take into account the estimated probable income that it will be able to receive.

In addition, when assessing the premises for rent, it is advisable to take into account a number of important factors, including:

area of the premises to be rented;
existing layout;
object state;
availability of furniture and communications;
location of the object;
availability of equipped parking;
transport and other accessibility for the tenant’s business partners and clients;
visitor traffic (especially for large shopping, entertainment and office centers).

Taking into account the above points and analyzing similar options, you can set the optimal, mutually beneficial price for the premises for rent.

Search for a tenant

Finding potential tenants is an equally important stage when renting out real estate. It is important to decide who to rent the premises to, because finding a bona fide tenant can often be very difficult.

After determining the monthly fee, you need to prepare the text of the advertisement.

Usually it indicates in detail the main parameters of the object - room size, floor, geographical position, infrastructure development, condition of the premises and its equipment. It is advisable to highlight the existing advantages of the premises in the text. But you shouldn’t hide the possible disadvantages of the property being rented out, so that during the inspection you don’t end up in an awkward situation and don’t scare off a potential tenant.

You should tell us more about the options searching for potential tenants.

Search through friends/acquaintances is considered the easiest way to find a bona fide tenant. Typically, if they have extensive “connections” in the business community, commercial real estate owners can rent out their premises quite easily and quickly.

Publication of advertisements on special Internet portals, of which the network works a large number of. The advantage of this method is that the current rental offer is seen by a huge audience of users who are interested in choosing the most profitable option. But to attract their attention, it is important to create a good ad with detailed description premises, indicating in the text the existing advantages and, not forgetting to note the disadvantages. True information about the property will help you find a tenant faster.

Accompany your ad with several photos of the proposed premises. This will help potential tenants quickly determine whether they are interested in your property.

Sending an offer bye-mail. Cafes and bars, large and small retail outlets, beauty salons and other establishments, as well as organizations are often looking for premises to open new outlets or move to a more convenient area. You can find out the e-mail addresses of business owners or managers who may be interested in your premises on the company’s official website.

Features of renting large and small premises

We can help you rent out non-residential premises, depending on the area of the property being rented out. recommendations from real estate market professionals.

For renting out a small space:

You can organize a search for potential tenants in person or through a real estate agency

Using the help of professionals, you will need to sign an agreement for the provision of services. After concluding a lease agreement, you will need to pay for the agency's services. Of course, you can cooperate without formalities; then you will need to write a letter containing a commercial proposal indicating the realtor’s remuneration, and send it to agencies that work with commercial properties. Typically, the realtor's commission is half the monthly rent (one-time payment).
Having decided to search for tenants yourself, publish advertisements on free Internet sites, organize targeted email distribution, in addition, placing a banner on the facade (paid service) in the window of the premises for rent (free) will be effective.

Renting a large premises:

If you plan to rent out a large premises, which means it will have a high expected profitability, then you can make a simple website with your own commercial offer. Typically, a website is promoted by contextual advertising using key queries. This allows you to reach the target audience, while in this option you can control the cost of the ad. In this option, you can advertise your property and save on agent fees.

Signing the contract

Competent presentation of the premises for rent– guarantee of a successful transaction. When showing the property, try to provide as much information as possible, drawing the potential tenant's attention to the advantages and likely profit that he will be able to receive when renting this property.

Signing the agreement– the final and most important stage of the transaction. A professionally prepared and executed lease agreement protects the landlord from an unscrupulous tenant. The lease agreement must include:

identification data of the owner of the property and the tenant;
address of the location of the object, its area and key characteristics;
Registration information;
contract time;
the amount of rent and the rules for paying it.

For your information! The law prohibits the owner of the premises from increasing the rent more than once every 12 months. Therefore, it is necessary to write in the document largest size probable increase, specifying the period of mandatory notification to the tenant.

The document must contain a detailed description of the rights/responsibilities of the parties to the agreement, as well as the responsibility of the parties for violating sections of the document. It wouldn’t hurt to include in the document an inventory of the property on the premises. So, after the end of the lease, the owner can demand financial compensation for damaged property.

How to quickly find a tenant

Several Yet useful tips will help you quickly rent out an office or a property for other purposes.

For owners who are not ready to personally search for a tenant or conduct showings/negotiations, it makes sense to seek the help of a professional realtor. He will objectively evaluate the premises, establishing its real value, take high-quality photos, correctly compose the ad text and begin demonstrating your property.

However, there are some nuances in cooperation with the agency. They must be clarified before cooperation begins.

If a landlord wants to quickly find a tenant for his premises, then he can pay the agency fee himself (many agencies charge tenants for services). This option is often used by owners of luxury real estate or if they own many properties. The money paid to the realtor will, among other things, be spent on the costs of leasing the property. Another quick option for flipping a commercial property is to reduce the rent. And there is no need at all to rent out the premises for “three rubles”; it is enough to reduce the rental cost by 5-10%. Then the premises’ competitiveness increases.

Possible risks when renting out premises

Any owner is concerned about the condition of the premises being rented and wants to have income from the transaction. We will present the main risks of commercial real estate owners and tell you how to protect yourself from them.

Inappropriate use of premises

Any properly prepared lease agreement specifies the purposes of its use and operating conditions. This applies to equipment rented with the premises.

Let’s say that at the conclusion of the transaction the tenant promised to use the premises as a warehouse, but opened a store in it. The landlord has the right to demand cancellation of the agreement without refunding the rent paid and imposing a fine on the tenant.

Damage to property

The property was handed over to the tenant in good condition, with machinery and equipment. But one day it is discovered that the premises are in a state of ruin, the equipment is broken, etc. In this case, the lessor may demand full compensation for the damage caused. In this case, not only the costs of repair work, but also the (market) value of the broken equipment are subject to reimbursement.

Liability is not provided in cases where the premises and property were damaged due to force majeure circumstances (fire, etc.).

Tenant refuses to pay rent

Sloppy payers are usually punished financially. Although this is only feasible if the lease agreement is properly executed - it clearly states the terms, procedure and amount of the monthly rent.