1881 Yonge Street – Office Renewal

Office Building Class Toronto

I’m working on a renewal with a client at 1881 Yonge Street. In today’s market the rule of thumb is 10% to 15% off of the landlords asking rental rates for a new deal and 5% to 10% off the asking rental rate for the renewal of a lease (depending on how much space is available in the building and area).

Why do new tenants get a better deal than a current client renewing their lease? The simple answer is the Landlord is in business to make money too. As spoiled as it sounds the landlord knows the cost of relocation is significant so they try and capitalize on those costs. Most tenants believe that because they “know” the landlord and they pay the rent on time they will get a fantastic deal; I laugh. The best way to negotiate a cheaper renewal is to use an experienced agent that can show the landlord your other alternatives and recent deals to leverage a cheaper price. Negotiate your lease through an agent so you don’t come to terms with your landlord (or even blows). Real estate negotiations can easily become volatile and emotional – having an agent there to represent your best interests is just good business. And did I mention the fees are paid by the Landlord so this service is free?!

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Midtown Office Space Toronto