Commercial property owners may be willing to structure leases in a variety of different ways. Generally speaking, those who are looking to rent commercial space in Mississippi can negotiate a gross lease, a net lease or a percentage lease. In some cases, it may be possible to negotiate a modified net lease.
Tenants who have a net lease are typically required to pay property taxes and insurance premiums on behalf of their landlords. They are also responsible for taking care of any maintenance needs that may arise during the course of the lease. A tenant who has a gross lease is not responsible for paying these costs directly. However, they will likely be included in a tenant’s base rent. A percentage lease requires a tenant to pay the landlord a base rate plus a percentage of the tenant’s sales each month.
A modified net lease is somewhat of a cross between a net and a gross lease. Typically, the landlord waives the requirement to pay anything other than the base rent for the first year of the agreement. Afterward, a business is only required to pay a set percentage of operating costs, and such an arrangement may be ideal for new companies or those that aren’t sure how long it will take to become profitable.
An attorney may be able to help those who are interested in leasing commercial real estate whether they want to occupy all or part of a building. An attorney may also review an agreement with a tenant to ensure that the renter understands his or her rights and obligations under the proposed deal. Legal professionals may be able to help resolve disputes that arise after a lease is signed or potentially assist tenants in backing out of deals before they expire.