Most of you know I own a tyre and mechanical business.
Next Aug our first 5 year term of lease ends, and we can option for another 5 years (it's a 5x5x5).
The rent is one of the major fixed costs - and I would like to decrease it.
Has anyone had any experience with offering less rent (as a tenant) or receiving a request (as a Land lord) for reduced rent?
There is another premises quite close to where we operate, which is substantially bigger and has been vacant for about a year that I know of.
They are asking a bit more rent than we currently pay - they want $5500 pcm, we currently pay $4000.
I was thinking of waiting until the end of Jan and offer them half the rent, with 6 months free rent at the start, 5x5x5 lease... covers my existing lease until they find someone else, or the renewal in Aug.
Half of something is better than nothing is the mentality, and I suspect they will laugh in my face, but you never know...looong vacancy.
Has anyone been a Landlord and had to suffer a long vacancy and had to cop a sizeable rent reduction to get a tenant?
Next Aug our first 5 year term of lease ends, and we can option for another 5 years (it's a 5x5x5).
The rent is one of the major fixed costs - and I would like to decrease it.
Has anyone had any experience with offering less rent (as a tenant) or receiving a request (as a Land lord) for reduced rent?
There is another premises quite close to where we operate, which is substantially bigger and has been vacant for about a year that I know of.
They are asking a bit more rent than we currently pay - they want $5500 pcm, we currently pay $4000.
I was thinking of waiting until the end of Jan and offer them half the rent, with 6 months free rent at the start, 5x5x5 lease... covers my existing lease until they find someone else, or the renewal in Aug.
Half of something is better than nothing is the mentality, and I suspect they will laugh in my face, but you never know...looong vacancy.
Has anyone been a Landlord and had to suffer a long vacancy and had to cop a sizeable rent reduction to get a tenant?