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Commercial warehouse space lease advice

 
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Shipwire

posts: 11

Feb 05, 2008 8:47 PM ET    Quote  Report Abuse
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If your renting a warehouse to do order fulfillment out of...definately look to a 3PL.  http://www.shipwire.com is one, there are others.

Warehouse costs checklist (who owns these in the agreement)
--lease, lease term and discounts for longer term
--common area control (like homeowner)
--Security, security systems
--software and infrastucture
--check to make sure the area is safe and secure (don`t want break-ins).
--insurance for the building verse the inventory
--Employees other than your warehouse workers (security, maintainence, etc)

Sometimes its hard to rent warehouse space if your a new company as they want to run credit checks on you and get personal guarantees.  Again...a good reason to look at a place like shipwire

Best of luck sd!

SW




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StartupLawGuy

posts: 20

Feb 16, 2008 2:07 AM ET    Quote  Report Abuse
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Hi  Sdlewis ,

 

First, I would make sure you needed to lease a warehouse as apposed to using a third party warehousing operation.  It’s vastly cheaper to pay somebody with and existing warehouse to handle your warehousing needs than to lease a warehouse.  It depends on the volume of merchandise you are moving.

 

If you do lease a warehouse, have a knowledgeable real estate agent review the lease.  Commercial lease are not like home lease.  Maintenance clauses for example, need to specify who is responsible fro both inside and outside maintenance.  One person I know leased a facility.  When the roof started leaking after the first rain storm, that person found out their lease agreement did not cover outside repairs.  Nor did the lease cover damages to the product from the water that leaked in.


 
I have to take issue with one thing...a knowledgeable real estate agent is no match for an attorney.  A lease is a legal document and lawyers are trained to review, explain, and comment upon legal documents.  I have dealth with many real estate agents...they`re good at their jobs, their jobs just aren`t reviewing legal documents. 
 
My main suggestion for you would be to take a look at the lease and figure out what it says.  Then, go through a list of what-ifs and see what the lease says.  For instance: what if:
  • The roof leaks
  • The warehouse burns down
  • A customer slips and falls in the parking lot
  • Your operation gets too big and you want to sub-let the warehouse to someone else
  • You change your business and you want to use the space for a different purpose

 



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Clint A. Costa, Esq., CPA (Licensed in Illinois only)
SNSFE, P.C.
http://www.snsfe-law.com
Josephpeus

posts: 1

Aug 25, 2009 11:18 AM ET    Quote  Report Abuse
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I have a warehouse in the center of the US, just off I-44.  What are you looking for? It comes complete with offices. Perfect for a start up and priced right.

 

Joseph 630-539-1319

klass

posts: 1

Aug 19, 2011 4:58 AM ET    Quote  Report Abuse
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[url=http://www.stardistribution.us/Pool-distribution.html /]Pool Distribution[/url] is the distribution of orders to numerous destination points within a particular geographic region along with reduces transit times, maintains shipment and temperature integrity, reduces claim potential due to less handling.

 



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