Like death and taxes, there are certain expenses that can’t be avoided. For instance,  if you you have a New York City office space rental, your commercial lease is going to have an escalation clause and your rent will increase every year. There is no getting around that. To understand why this is inevitable, place yourself, for a moment, in a landlord’s shoes. Because the cost of building services, personnel, energy and building maintenance go up every year at a pace that matches or exceeds inflation, a landlord’s only option is to recoup increased costs by adjusting rents. How Much More Per Year? Landlords will figure out the amount of the increase in different ways. –Fixed annual percentage increase (most common)… Continue reading

Posted in Commercial Leasing 101Understanding Commercial Lease Language.