We’ve written this guide to help you navigate leasing a unit in one of our serviced business parks, from finding a suitable space all the way through to moving in. You can use this guide to help you with all the legal, financial and practical issues which may need to be considered when signing a lease. Ensuring you end up with the right space for your business is not just about the size, location or rental rate.
Many businesses take more space than they need because they don’t plan properly. They lay out spaces poorly and think about layouts retrospectively. inospace has a host of free areas and services, so decide if it’s more efficient and cost effective to use shared meeting rooms, bathrooms and kitchens instead of installing and/or renting your own.
There is no question that your business is likely to change over time, so you need to think about how long you can commit to a unit. Longer lease commitments may result in lower rentals, so think about what the maximum time you can commit to if you want to get the best deal.
Spaces can vary in height and shape and different factors can attract higher or lower rentals. For example, if your business needs storage, you may not need industrial facilities with electricity services. Rather look out for high roofs or enquire about a separate storage container or storage room available in the park.
Some businesses do have specific requirements like additional floor loading or extra power capacity for heavy machinery. Make sure you share these details upfront with your Inospace Business Development Manager so that you don’t waste time and only view relevant spaces.
It’s important to consider things like how many access points you’ll need, where you are going to park your cars and where will you unload deliveries. You should also think about access to transport routes and main highways to ensure your business can run efficiently
Some Business Parks are available immediately, but others may need work done first and some may need to be built to your specifications. Plan in advance and make sure you notify your Business Development Manager of your timelines. Allow plenty of time for sorting out the legal documentation and securing any necessary consents. If you leave everything too late, you will find yourself in a worse position.
Make sure to take note of security measures in place. inospace is committed to maintaining an environment in all our parks where our clients and their staff feel totally safe at all times - day and night. Besides the friendly guards on duty 24/7, you’ll find a number of other safety features from electric fencing to closed-circuit cameras.
Where properties have common areas or facilities such as meeting rooms, reception areas or wi-fi, which are to the benefit of all tenants, it is common for landlords to charge a percentage as a contribution towards their upkeep and maintenance. At inospace we don’t do this, your rental is all inclusive and you get a host of services included in the rent.
You will be liable for internal repairs and maintenance of your space during the term of your lease. Make sure you understand what you will be liable for to avoid unexpected costs.
We include these costs in the rental for all micro industrial and office units, as well as storage units. For larger spaces the lease may ask for a proportionate share and/or an annual municipal increase.
Many traditional landlords ask for a contribution but we insure the building and public areas at our own cost. You will need to take out your own insurance policies to cover things such as contents and public liability.
Most of our units will have their own electricity meters and you can manage your own requirements on a “pay-as-you-go” basis. Water is charged to each unit as per your consumption. This is calculated off a meter reading or proportionate share. If you don’t have water in your unit, you won’t be charged for it.
We charge a nominal once-off lease preparation fee between R950 and R2500 depending on the size of your unit, to cover administration and legal fees. Don’t forget that this will be charged with your first month’s rent.
At the end of your lease you are required to return the unit in the same condition as when you moved in. Please budget for this if you are not going to maintain the unit in a good condition or if you are going to make alterations during your lease.
Most leases require a deposit equivalent to 2-3 month’s rent. At inospace we require a deposit equivalent to 2 month’s rental paid with your offer to lease.
It’s important to see a few different properties to get some perspective on what is available. It will also give you an opportunity to quiz our Business Development Managers on some of the finer details and get a feel for what it’s like to be one of our clients. Take lots of photos to help remember the important things like what services are available, or for future space planning and fit-out.
It’s always a good idea to take a look around the park while viewing your unit as this gives you a good idea about how the park is looked after and maintained. If you see other tenants while there, have a chat to them and check that they are happy.
There are variables which you will need to agree to as part of a lease.
There is often a difference between the rental amount and the deal that can be struck. Ask for a quote you can consider, and make sure it covers all the key cost areas.
The Offer to Lease should include all the details of your lease and reflect everything you have agreed up to this point. Anything which is missing stands a chance of not making it into your lease, and, hence, cannot be relied upon in future. If the lessor or their representative has promised to do something either before or during your lease, then you should make sure it’s included in the Offer to Lease.
At this stage you will be asked to provide information to confirm your identity, such as a passport, utility bill and/or company financials.
The lease will need to be signed before you can move in, as will any other documents relating to it, such as plans, renewal annexures, debit order forms and surety agreements. Make sure your signatories are available when you need them.
You will be asked to complete a debit order form. At Inospace we give you the flexibility of paying your rent on either the 1st or the 10th of the month as long as a debit order is in place. If there is no debit order in place, then your rent will be due on the 1st of each month. Remember if you have a new business, you will need bank accounts set up and ready to go.
In order to complete the lease, you will need to transfer the agreed deposit which is payable upfront.
Once all the above is done, you will receive confirmation that the lease has been completed and your deposit payment received. You should then receive the keys for your new property and can get back to doing your day job!
Your on-site park management team will be waiting to welcome you into the park. As a member of the inospace community, they will be your day to day contact for anything you need.
You are responsible for internal repairs and maintenance of your unit. This excludes any external scheduled maintenance and repairs which inospace is responsible for. You will be responsible for sourcing your own contents insurance, public liability insurance and other regulatory requirements like health & safety certification.
At inospace we encourage you to come and chat to us should your business needs or situation change at any time. However, should you need to end your lease you will need to exercise a break clause or wait to leave upon lease expiry. Exercising a break clause usually requires serving notice to the landlord in a certain time frame and may be subject to several conditions, so plan this well in advance. If you leave at the end of your lease it is not usual to need to give notice, but is a polite and practical thing to do. Before you leave you need to restore your unit to the same way it was received.
From time to time businesses can have cash flow problems. It is always best to speak to your Park Manager in advance if you are concerned that you will not be able to make a payment. If you do not pay your rent, you are at risk of having your lease terminated and being evicted. You will also be liable for the penalties and interest charges. At inospace, we would rather you come and chat to us about your situation as soon as possible, so that we can discuss the options available, which could potentially help ease your situation.
We encourage our inospace clients to come and chat to us as soon as possible should your business needs change so that we can discuss the options available. If your business is growing and needs more space, that’s no problem. If we have something suitable, we’ll be happy to look at making a plan for upsizing your space. The terms would need to be discussed as and when the need arises. If you need to move to a different part of town, or a different kind of space, we understand that this can happen. We’ll be happy to discuss the options and terms for moving to an alternative space in one of our parks.