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The Lean Rent Playbook: How to Avoid Hidden Occupancy Costs
7
You spend a lot of time building models and selecting the
ideal site for each facility. If you get evicted f rom one of your
locations because you didn't pay attention to a renewal
clause, a competitor may reap the benefit f rom your
investment while you're stuck finding a new site.
More often, however, missing a lease renewal means
you have to renegotiate your lease terms, rent and other
occupancy costs. You'll still be able to lease the space, you'll
just be stuck paying more for it. Renegotiating the terms of
your lease after a missed renewal can tack on an extra 20% to
the rent and other expenses you're paying right now.
That's not a situation you want to be in with a single location,
let alone multiple. But the more leases you have, the greater
your risk of missing a renewal window or not meeting the
terms of a renewal clause and being faced with increased
rent costs as a result.
The solution: Tango's Critical Dates feature
automatically tracks and notifies you about key
dates and action items, so no matter how many
leases you manage, you'll always stay on top of the
renewal process.