When is the best time to start negotiations for renting an industrial space?

Even if it sounds cliché, the immediate and short answer is… “it depends”. It depends on the one hand on the needs of the space, on the complexity of the activity you will carry out, the contractual period and on the other hand on the available spaces, their age, market standards and the ability of developers to adapt the spaces to your needs.

In addition to the time required to prepare the space from a constructive point of view, it is also necessary to take into account the period of time required to authorize or re-authorize the space, depending on how it is to be used. One of the most important permits is for fire safety. The owner is the one who obtains this authorization, based on a fire safety scenario and the plans for non-change. The tenant has the obligation to use the space according to the scenario and without making changes to its compartmentalization.

I think it is unlikely that you can identify an suitable and perfectly compatible space immediately, for the activity you want to carry out: to be ideal in terms of location, shape, compartmentalization, types of access and valid permits. Consequently, in order for the space you are going to rent to meet the needs as well as possible, it takes time to search, negotiate, customize and authorize the space. If you are looking for a storage space, it is recommended to start negotiations at least 3 months before starting the operational activity in the new space. If you are going to do production, you will most likely need at least 6 months of training: to search, contract, arrange and authorize so that you can then start production.

The contract is at least as important as the construction standards because the legal rights of the tenant can not be sustained without obligations and for the resources of time and money to be used for the purpose of the activity, it is essential that the space corresponds best. medium and long term needs. A fortuitous relocation can be extremely costly and damaging. A long-term contract on the other hand, with the possibility or even the right to expand the leased area, can prove to be the ideal framework for healthy development. To be able to stage such a scenario, you need enough time to find it, the right location and the ideal partner with whom you can make long-term projections.

Dan Paraschiv, Co-Founder Urbano Parks
www.urbanoparks.ro

about Dan Paraschiv: Graduate of the Technical University of Cluj-Napoca in 2003 Dan started his career in 1999, and in 2004 he became Audi Sales Director. For a year, Dan perfected his art of architecture in business at HTO Architecture Engineering as a Branch Manager, after which he followed the same path in DAF Romania for almost three years. The passion for industrial real estate was cultivated from 2018 to 2019 on the position of Business Development Manager Transylvania at CTP Invest - major European industrial realtor -. Natural followed the "infusion" in real estate as a founding partner at Urbano Parks. the company that built the Urbano Cluj Vest industrial park in Gilău - the metropolitan area of Cluj-Napoca.