7 things Business Owners should check before leasing a space and building it out.
Business Owners looking to lease (or even buy) some space? These are 7 things you should absolutely check.
They might seriously impact your project, your schedule and your finances.
On time control and remediation are the solution.
A lot of damage control can be done when you have the right person on board with you to solve these problems.
You can avoid getting trapped into a lease, with no cheap way out.
So here it is:
Are there any open permits or violations?
- This might delay your permit filings.
- Sometimes the Department of Buildings (DOB) will ask for violations to be cured, permits to be closed, fines to be paid before you can even proceed with your own filing.
- Best of all, information for permits and violations is available on the DOB website.
Is the structure sound, what are the floor loads, is the roof in good shape?
- It’s important to know that the structure is sound. Depending on your intended use, and if incompatible, are there easy remedial solutions?
- It might make structural modifications impossible and compromise your intended layout.
- It might be a sign of an aging building or a deficiency in maintenance.
Is there a Certificate of Occupancy (C of O) in place or would you have to obtain a new one for your activity?
- This might delay your opening date, if not worse.
- A C.ofO. is necessary to open your space or building. In some specific cases you might get a temporary C.ofO. (T.C.O.) with contingencies and conditions that need to be addressed within a certain timeframe.
Are there any hazardous materials in the building (asbestos, lead, mold, fuel spills)?
- Remedial solutions for all of the above impact your schedule and are often quite expensive.
- For example, if there was an oil tank in the basement, leaking over the years, an expensive clean-up is often necessary.
Is the building pest free? This include termites, rats, roaches and other animals.
- You want to make sure it does not become a recurring problem.
- Some animals might damage elements of the building, create unsanitary conditions and more.
Are the financials of the landlord in good order? Is he current on his mortgage? Are there any unpaid taxes? Are there any mechanic’s liens on the property?
- Your lease money might not go where it should.
- This can impact your operations if for example maintenance is lagging or deficient.
Is the building up to code in terms of fire safety, egresses and ADA requirements?
- This might slow your filings and there might be costly remedial works to achieve compliance.
- Since you are doing the build-out, you are responsible for designing to code and remediating any issues. The landlord might assist you, but you will be operating the space.
If you are concerned by any of these problems as Business Owners, I can help you out and provide the necessary assistance!