Landlord Tactics You Should Know About
Being a tenant today is like reading the fine print on a streaming subscription - it looks simple, but costs stack up fast.
1. Parking: The Silent Price Hike
Landlords are keeping base rents steady while quietly raising parking rates mid-lease, often under “prevailing market rate” clauses. It’s becoming a subtle way to boost building revenue without officially increasing rent.
Here’s a real example: A building we toured last year charged $150 per stall. Today, that same garage—with no upgrades—is asking $215.
➥ STRATEGY TIP: Push for fixed parking rates or caps written into your lease.
2. Rentable vs. Usable: The Square Foot Illusion
That “20,000 square foot” suite might feel closer to 14,000 when you’re inside—and it’s not just your imagination.
The difference comes down to rentable vs. usable square footage. Usable square footage is the space you can actually occupy - your private office or workspace. Rentable square footage includes that, plus a share of common areas like corridors, lobbies, lounges, and outdoor patios, even if you never use them.
This is a standard part of how office space is marketed, often resulting in tenants paying for more square footage than they can truly occupy.
➥ Strategy Tip: Always ask for the load factor—the percentage of shared space included in the rentable total. If it’s over 25%, proceed with caution. Request a breakdown of usable square footage so you know exactly what you’re getting (and what you’re not).
3. Lease Structures - They Matter...A Lot
A quick refresher:
Gross: One predictable number you pay each month. The landlord handles most expenses, so your costs are simple and steady. Great for budgeting with no surprises.
Modified Gross: You share some expenses like utilities or maintenance with the landlord. This can lead to variable costs and unexpected charges, so it requires closer attention.
Triple Net (NNN): You’re responsible for nearly all property expenses in addition to rent. This means your total monthly costs can fluctuate significantly, so it’s important to understand what you’re committing to.
If you’re not clear on which structure you’re signing, let’s talk before you do. Knowing the lease type upfront helps avoid costly surprises.