As businesses expand, needs change and so do one’s office address. Leasing is the way to go and the commercial leasing of property is the best way to fulfill your requirements without the hassles of investing in property, bothering about taxes, or the stress of looking after the maintenance requirements of commercial premises.
The benefits of leasing commercial property in Dubai are many. There are cost advantages like the lack of trade barriers, corporate taxes and income taxes. Labor costs are competitive and energy overheads are comparatively lower than other countries. There are free zone incentives like high level administrative support, 100% exemption from all import duties and 100% foreign ownership. Energy is inexpensive and abundant and there is freedom from corporate taxation. Moreover the business environment is unrivalled and conducive to the easy transaction of business dealing. State of the art communications and transportation systems are in place, there is a free enterprise system, the finances and banking sectors are well developed and sophisticated and the lifestyle is cosmopolitan.

Leasing a commercial property in Dubai thus has manifold plus points. One conducts business from state of the art buildings with second to none facilities, premises in prestigious and prime locations, plush comforts, sophisticated amenities and above all a healthy atmosphere to conduct business in.

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NNN Brokers USA Represents San Francisco’s Number 1 Sightseeing Company

San Francisco, CA (PRWEB) August 2, 2010

NNN Brokers USA Commercial Real Estate, a leading San Francisco triple net real estate investment brokerage firm specializing as a NNN, NN, and Net Leased Commercial Real Estate Broker on a national basis in the San Francisco Bay Area, has arranged the long term lease of a 25,000+ SF warehouse built to their client’s specs with nearly 80,000 SF of land on 3rd Street in San Francisco, CA. Gregory Garver, of NNN Brokers USA Commercial Real Estate’s Net Leased Investment Group in San Francisco, represented the national credit tenant, Open Top Sightseeing San Francisco.

“Knowing the current real estate and tax laws can help shave the hair off these deals. According to proposed Treasury Regulations, the Lessor may be able to completely expense the new roof called for in the lease, rather than capitalizing and depreciating it,” says Gregory Garver, “The value the Lessor gained by leasing to a single tenant national credit company under a long term lease goes unsaid.”

Gregory Garver, of NNN Brokers USA, is currently preparing to bring a 250+ Acre luxury Golf Course located in California to market the end of 2010 and focusing on the needs of a 1031 exchange buyer seeking triple net or net-net-net leased investments (looking for a Walgreens or a CVS for sale). The 1031 exchange buyer has 1 million cash and must exchange into a property for at least 2.2 million. He is willing to wait for the right CVS or Walgreens deal (prefers the Southeast, i.e. Florida, and would jump on an opportunity to purchase a CVS or Walgreens with assumable financing).

About Gregory Garver:

Gregory Garver is the San Francisco Real Estate editor for DMOZ.

About NNN Brokers USA Commercial Real Estate:

NNN Brokers USA Commercial Real Estate covers all major product types with a focus on commercial properties located in the San Francisco Bay Area and triple net leased investments. NNN properties are extremely attractive in today’s economic environment. Of late, NNN Brokers USA Commercial Real Estate has been utilizing tax deferred 1031 exchanges for its clients. We have assisted many long term owners with large equities in exchanging their properties into national triple net leased buildings which eliminate managerial duties and provide a fixed, passive income. NNN Brokers USA Commercial Real Estate offers decades of extensive knowledge which comes from the years of experience that it has under its belt. NNN Brokers USA Commercial Real Estate has expanded its reach across the country exchanging various properties such as Advanced Auto, AutoZone, O’Reilly’s, CVS Pharmacy, Save-On Drugs, and various Government leased buildings. NNN Brokers USA also has access to smaller deals where for as little as 500k investors can pick up great products such as Dollar Generals.

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©Copyright 1997-

, Vocus PRW Holdings, LLC.
Vocus, PRWeb, and Publicity Wire are trademarks or registered trademarks of Vocus, Inc. or Vocus PRW Holdings, LLC.

Houston, TX (Vocus) August 28, 2009

Lex Mundi has published a new multi-jurisdictional real estate survey, Issues Relating to Commercial Leasing. Prepared by the Lex Mundi Real Estate Practice Group, the survey is the fourth in Lex Mundi’s four-part real estate survey series.

The Issues Relating to Commercial Leasing survey provides an overview of the important issues involved in the leasing of commercial real estate projects. Topics discussed include the liability for transfer taxes payable on creation or assignment of a lease, the formal requirements for the execution of a lease, and any restrictions on the transfer of ownership of real properties subject to a lease. The Real Estate survey is available to download free of charge in its entirety or by jurisdiction at http://www.lexmundi.com/lexmundi/Real_Estate_Survey_Part_IV.asp.

Robert Krapf, a director with Richards, Layton & Finger, P.A., Lex Mundi’s member firm for Delaware, and the chair emeritus of the Lex Mundi Real Estate Practice Group, commented, “With the release of the Issues Relating to Commercial Leasing survey, the Lex Mundi Real Estate Practice Group has successfully completed the real estate survey series. These four surveys, in which more than ninety jurisdictions are covered, will serve as a valuable practice resource not only for Lex Mundi member firm lawyers, but for in-house counsel and other professionals as well.”

The first three parts of the real estate survey series – Issues Relating to Foreign Investment, Issues in Ownership of Real Property, and Issues Relating to Finance – are also available to download free of charge on the Lex Mundi web site.

Other popular multi-jurisdictional surveys prepared by the Lex Mundi practice groups include:

    In-House Counsel and the Attorney-Client Privilege Survey
    Bank Finance and Regulation Survey
    Labor and Employment Desk Book
    Pre-Merger Notification Survey
    Telecommunications Regulation Survey
    Intellectual Property and Competition Law Survey
    Criminal Liability of Companies Survey
    Trends for Commercializing Intellectual Property Survey
    European Union: Accession States Tax Guide
    The European Company

All Lex Mundi multi-jurisdictional surveys and other publications are available to view at http://www.lexmundi.com/lexmundi/Publications_and_Resources.asp.

Lex Mundi is the world’s leading association of independent law firms. The association has more than 160 member firms around the world, representing approximately 21,000 lawyers. Membership in Lex Mundi provides member firms with a trusted network of law firms that share similar values and a similar focus on quality through which they can access global legal resources that enable them to serve their clients better and to improve continuously all aspects of their firms. Member law firms are located throughout North America, Europe, Latin America and the Caribbean, Asia and the Pacific, the Middle East and Africa. Through its nonprofit affiliate, the Lex Mundi Pro Bono Foundation (http://www.lexmundiprobono.org), Lex Mundi member firms provide pro bono legal assistance to social entrepreneurs around the globe. For more information about Lex Mundi, please visit http://www.lexmundi.com.

For a printable version of this press release, please visit http://www.lexmundi.com/images/lexmundi/PDF/PressReleases/PracticeGroup_RESurveyIV.pdf.

Contact Information:

Kathleen Pope-Sance

1.713.328.4521

Carl Anduri

1.925.962.0115

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©Copyright 1997-

, Vocus PRW Holdings, LLC.
Vocus, PRWeb, and Publicity Wire are trademarks or registered trademarks of Vocus, Inc. or Vocus PRW Holdings, LLC.

Base rent on usable footage:

Ask about the rent based on square foot. Most of the time that is what referred as actual monthly rent. At times, charges for “loads or “CAM” are added, thereby increasing the monthly rent. This is applicable to warehouse space as well.

Find out if the leasing terms are negotiable:

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Do you know the parts of leasing that are negotiable? Before going ahead with industrial space for lease negotiate the base rent, security deposits, free rent, time length of the lease, how much will your rent and fees for industrial space for lease will tend to increase each year and how can you renew the lease etc.

Surplus charges:

Check, if you are eligible for any additional taxes, property fees, load fees, CAM fees etc. do not go by words, get everything documented. Get the details of each fee separately with the amount and time of payment (when to pay and how to pay).

Rent and fees increment:

How will your rent increase? What are the factors influence your increment? How often or rather when can you expect your rent or other fees to increase? To what extent will your fees and rent increase at one go? Get every detail to decide whether this particular industrial space for lease is a feasible option.

Parts of rent:

Find out if the cost of utilities service, security facilities etc are included in the rent. Also, identify the taxes and the type of taxes.

What is CAM Fees?

When you are going for warehouse space or industrial space for lease, you are probably charged square foot wise but your actual rent includes several other charges. In case of retail space and industrial space for lease, the surplus charges are refereed to Common Area Maintenance (CAM) fee.

What is Load Fees?

Another term used in commercial real estate field is Load fees, especially heard while leasing a non-industrial space. This is the term used for additional charges apart from the base rent. At times, the rent is inclusive of this extra expense and some times, it is separately charged.

These terms are not relevant in case of industrial space for sale. There are various factors that need to be looked into before finally selling it. The commercial real estate has different segments along with separate specific terms and rules. Therefore, no matter if you are looking for industrial space for sale or industrial space for lease, go through the terms to be on the safer side.

According to the borrower, the responsibility of paying service tax is of the service provider which is the foreign branch of the Indian bank and, hence, the Indian bank having a permanent establishment in India, is supposed to pay and not the borrower.

The contention of the service tax authorities is partially correct after coming into effect of section 66A of the Finance Act, 1994 from April 18, 2006.

Until the coming into effect of section 66A, the liability and obligation to pay service tax was that of Indian bank and not that of the borrower. Contrary to the contention of the service tax authorities, even under rule 2(1)(d)(iv) of the said Rules, effective from August 16, 2002 and June 16, 2005 respectively, the borrower cannot be made liable for the payment of service tax.

2. Rule 2(1)(d)(iv) reads as follows :—

‘Person liable for paying the service tax’ means,—

(iv) in relation to any taxable service provided or to be provided by a person, who has established a business or has a fixed establishment from which the service is provided or to be provided, or has his permanent address or usual place of residence, in a country other than India, and such service provider does not have any office in India, the person who receives such service and has his place of business, fixed establishment, permanent address or, as the case may be, usual place of residence, in India.”

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From the aforesaid provisions, it would be clear that until April 18, 2006, the requirement under rule 2(1)(d)(iv) was that only in case where the service provider did not have any office in India, the person receiving taxable service was liable for paying service tax involved. In the cited case, the Indian Bank having its registered and head office in India, and a branch in a foreign country cannot be said to be a service provider who did not have an office in India.

After coming into effect of section 66A, rule 2(1)(d)(iv), substituted with effect from April 18, 2006 by the Service Tax (Second Amendment) Rules, 2006, reads as follows :—

“‘Person liable for paying the service tax’ means -

(iv) in relation to any taxable service provided or to be provided by any person from a country other than India and received by any person in India under section 66A of the Act, the recipient of such service;”

As such, until April 17, 2006, the borrower was not a ‘person liable for paying service tax’ within the meaning of the Act and the said Rules, including rule 2(1)(d)(iv) thereof.

It is relevant to note herein that the phrase ‘does not have any office in India’, in rule 2(1)(d)(iv), stands omitted from the substituted rule. As such, with effect from April 18, 2006, in any case where the taxable service is provided or is to be provided by either a person who has established a business in a country other than India or has a fixed establishment from which the service is provided or is to be provided in a country other than India or has his permanent place or usual place of residence in a country other than India, the service recipient in India would be treated as if it has itself provided the service in India and, accordingly, it would be liable to pay the service tax and comply with all procedural and other requirements as specified in the Act and the said Rules. The respective clauses in section 66A (1) (a) are disjunctive and, hence, once any of the three alternatives contained therein are satisfied, the service recipient becomes liable to pay service tax on the taxable service involved.

Applying the aforesaid provision, since the service is being provided by foreign branch of an Indian Bank, the condition precedent laid down in section 66A(1)(a) is satisfied and, in the absence of the phrase ‘does not have any office in India’ in rule 2(1)(d)(iv), as recipient of the services, the borrowers would be liable to make payment of the service tax payable on the ‘Banking and Other Financial Services’.

3. The fees paid or to be paid are liable to service tax under ‘Banking and Other Financial Services’ under the Act with effect from September 10, 2004. The liability to pay service tax for the period prior to April 18, 2006 would be that of Indian Bank and on and from April 18, 2006, would be that of the borrowers.

Lately, a variety of options have achieved recognition among companies searching for leasing a vehicle. Of these, novated lease is possibly the most favored choice.

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What Is A Novated Lease? 

In this car leasing agreement, a vehicle is leased by a company in support of its employee. The accountability of the vehicle though rests with the employee. The company, on its part, subtracts the payments from the employee’s pre tax wages. From the company’s viewpoint this makes sense as they would be spending for their employee by backing his or her vehicle acquisition, facilitating them to work in time, resulting in better output.

How to calculate the expenses Involved In Novated Leasing?

The expenses that lead up to the whole amount, take into account the price of the vehicle plus accessories, the lease time, the existing interest rates and the calculated market value of the car at the conclusion of the lease period.

Getting started

The procedure is simpler than you consider. Usually, it consists of the subsequent steps.

•Acquiring an estimate from a dealer.

•Putting forward a credit request.

•Authorization of the credit agreement by the car dealer.

•Completion and compliance of lease papers with required inputs from your employer.

•Delivery of the automobile.

•Notification to your employers and organizing of payroll judgments.

People also make use of the car lease Calculator to assess any car Leasing arrangement .One can Find monthly payments, calculate approximately total expenses, determine concealed fees, and verify dealers’ statistics through it .

Term

This section of the commercial lease form spells out the duration of the leasing or rental period. The date upon which the tenant can assume control of the rental property is included, as are the terms for extending the lease beyond the initial term.

Rent

The landlord and tenant agree to a set monthly rental amount that the tenant must pay to the landlord in a timely fashion. The rental amount is usually due on or before a certain day each month. This section of the commercial lease agreement form may also layout additional fees including rental deposit and agreement extension terms.

Prohibited Uses

In this section of the commercial lease agreement form, the tenant agrees not to use the rental property to manufacture or store explosives, chemicals or other inherently dangerous or restricted materials.

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Sublease Qualifications

The landlord uses this part of the commercial lease agreement form to outline the conditions of a sublease by the tenant to other entities. In general, tenants cannot sublease without first receiving the consent of the landlord.

Repairs

The tenant agrees to make all necessary repairs to the property including those items such as the floors, walls and ceilings that might be worn or damaged through normal occupancy. The tenant agrees to incur the costs making these repairs. Major repairs to the roof or other property components are typically referred to in additional clauses of the commercial lease form.

Property Taxes

Here, the commercial lease agreement stipulates the landlord will pay all general real estate taxes for the property, and the tenant agrees to pay all taxes on tenant-owned property stored or housed on the premises.

Entry

The Agreement reserves the landlord’s right to visit the property during reasonable or agreed upon hours of the day, but agrees to not do so in a way that interferes with the tenant’s normal business operations.

Parking

It sounds minor, but this section of a commercial lease agreement form clarifies where tenants and tenant clients or customers may park their cars, and where they may not. This typically involves the tenant providing the landlord with a roster of employees and the make and model of their vehicles.

The above are just a few sections commonly found in a commercial lease agreement form. It’s by no means an exhaustive list of those sections found in all commercial lease agreements, which are written specifically for different types of property and business enterprise. However, taken with those other terms and conditions, these points of agreement between a landlord and tenant work to the mutual benefit of all involved, providing recurring income for the landlord and a secure place of business for the commercial tenant.

The first consideration is that of the lease term. A commercial lease can run anywhere from three to ten years and is typically negotiable. When determining a lease term the commencement date is just as important as the expiry date. If the space to lease is not already vacant, issues may arise with the current tenant. For example, they will not move out; construction isn’t finished on time; disagreements arise about whether the tenant can gain access early to install fixtures or make improvements. The lease should stipulate what will happen if the space is not ready by the move-in date.

An important factor is the rent, which is a fairly inflexible part of tenant overhead. Commercial rents generally come from an annual cost per square foot of the space, but there are at least five common ways to calculate rent. Gross Rent is the most common and is a fixed monthly amount and the landlord is responsible for all expenses of operating the building including taxes, repairs etc. Net Leases requires the tenant to pay for some or all of the real estate taxes in addition to their base rent. Net-Net Leases require the tenant to pay for some or all of the real estate taxes plus the insurance on the space they are occupying. Net-Net-Net or Triple-Net Leases are usually written only for industrial properties and basically pass on all costs of operating the building to the tenant. Percentage Leases are a type of rental arrangement that applies to retailers. In a percentage lease the tenant pays a base rent plus a percentage of gross income. Rent may go up and in that case it is outlined in the escalation clause of the lease agreement.

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A sub-lease can arise if a tenant is progressing through the lease term but for whatever reason, needs to leave. In this case the tenant needs to come up with another tenant to take over the lease. This tenant must pass credit assessments and be deemed reasonable by the landlord.

Insurance is an issue that does not get enough attention. Landlords in general are expected to carry a policy on the building that covers liability for common areas. They also have the right to insist that tenants carry their own insurance. A good resource is a professional insurance agent or lawyer.

Improvements on commercial space are a negotiable aspect of the lease agreement. If tenants can persuade the landlord that work may be a good selling point for future tenants, the landlord may agree and finance the work. Any agreements about improvements should be put in writing with documented costs etc. before the lease is signed.

This knowledge is paramount but not all-encompassing of what may be expected in a lease agreement situation. If you are considering a commercial lease and aren’t sure where to start, contact a Realtor who has sufficient knowledge of the rental climate in your area and can ensure mutually satisfying lease agreements.

The two most common types of Commercial Truck Leasing programs are:-

Open-end truck leases: It provides full use of leased trucks, with a pay-out at the end of the lease. Closed-end truck leases: It offers you buy-out option.

There are many types of leasing services are adapted by service providers, out of which operating lease and financial lease are commonly in use. Many leasing companies offer tax exempt lease, for cities, counties, state agencies and school districts. There are few other types also like:-

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A full service lease is a great option for commercial truck leasing. A full service lease not only provides the trucks, but preventive maintenance, repairs, replacement trucks if necessary, display of company logos, and more.

If you’re leasing trucks for a seasonal or recreational business, you can go for a skip lease. A skip lease is an option that allows you to arrange time periods when payments will not be made.

Fleet leasing pertains to a leasing option that specifically addresses business leasing. If you need to lease a fleet of trucks for your business, fleet leasing will help you address your needs as well as save you money.

The best contacts and resources will definitely help you to reach to a desired company. Besides, there are many related sites are also available in search engines by which you can  get  more information about  various types of latest financial  requirements. You can find many leasing services also which are presented nationwide and such widely spread services can apparently ensure you more security and warranty both physically and economically for your vehicle.

Before enrolling yourself in to any Leasing program always take a view at the bottom line pricing so that financially you can plan yourself. Many types of financial and payment   plans are also available with respective terms and conditions and hence one should be careful to it. Truck leasing services must provide unlimited mileage, maintenance security and safety programs. Commercial truck leasing  even lets you get your drivers on the road, while putting the maintenance responsibilities in the hands of the owner, who also often offer safety programs, emergency roadside service and vehicle washing as part of their service packages.

Lease Type -

Typically, there are three types of leases. Gross Lease, Modified Gross, Net Lease, Net Net Lease, and Net Net Net Lease (usually referred to as triple net). Gross and modified gross leases typically won’t have hidden fees attached to the base rent. With net, net net and triple net there will be added fees for things like taxes, insurance and snow removal added to the base rent.

It is very important for a tenant to know what type of lease they will be signing before it’s time to put pen to paper. If there are any additional charges added to the base rent it is important to find out how much those charges are. Those can often times add up to thousands of dollars a month. The tenant will also want to find out what those charges are for and ask for a breakdown. How much are going towards taxes, insurance, lawn care and snow removal? They should verify what the taxes on the building are to make sure they’re not over paying. They should also get an idea of what insurance costs in their area or ask the Landlord to see the insurance policy on the building. If it doesn’t add up to the amount the Landlord wants to charge then the tenant should insist on a lower rate.

Rental Rate -

Many people think that Landlords will be willing to accept any amount of rent they’re offered just to get somebody in their building. In some cases this can be true, but most of the time not. It’s usually safe to offer an amount lower than what they’re asking and in many cases they will take it. It is, however, possible to offend them by offering too little. Many property owners are able to afford to let a property sit vacant for a little longer and may choose to deny business to somebody if they have offended them. Be reasonable when making an offer and be willing to pay what you think the space is worth to you.

Term -

Another very important part of a commercial lease is the length of the lease, referred to as the “term”. Many people new to commercial leases want to negotiate the shortest lease term possible. Many people even try asking for month-to-month leases or six month leases. While a short-term lease like this is beneficial if the tenant has definite plans to close or relocate in a short amount of time it can be detrimental to their business if they’re hoping to stay around a while. A lease term doesn’t just protect the Landlord from having their tenant move out soon, it protects the tenant from increasing rental rates and from getting kicked out to allow somebody else in who is willing to pay more. If a tenant is able to negotiate a fair rent amount it is usually in their best interest in lock-in that rate for as long as possible. With a short-term lease a Landlord may see that the tenant’s business is doing well and decide that they want to charge more rent at the end of their lease. At this point the tenant either has to find a new location and endure the stresses and expenses of moving or just pay the higher rate.

Improvements -

Depending on the type of business a person is looking to open in a commercial space, the property may not be designed to suit them. Many times a tenant has to come in and make improvements to the space to fit the needs of their business. This may include building or tearing down walls. The question that often arises here is who will pay for it? Tenants tend to think that the Landlord should pay for it if they want them to rent their space while the Landlord doesn’t feel they should have to make improvements specific to the tenant’s business. This is where some negotiating can really come in. The tenant should look for areas that they’re willing to give a little in order to get the expensive improvements taken care of. It may be worth it to pay more per square foot over the length of the lease or to sign a longer lease. Landlords typically won’t want to reconfigure one of their spaces for somebody if they’re only committing to staying there for a year or two.

When a person finds the space they’re looking for and is ready to offer their terms they will write a Letter of Intent. A Letter of Intent is like an offer that somebody would write when purchasing a house, except that the Letter of Intent doesn’t obligate them in any way. It simply states the terms that they would be willing to accept to start moving forward if they wish, but don’t have to. This is where things such as the type of lease, the lease amount, the term and improvements will be laid out. It is important to not forget anything on this. Waiting for an acceptance only to go back and ask for more can really hinder the negotiating. The Letter of Intent will be given to the Landlord and will either be accepted, denied or they will make a counter offer. They will often say that they agree to one part of it, but not the other. For instance, maybe they will take the amount of rent offered but not willing to do the improvements. The future tenant now can either accept the counter, say “take it or leave it” or make some adjustments to their Letter of Intent and resubmit it. Maybe offering a little more in rent, a longer term or less improvements. In many cases this can go on for quite some time until everybody is satisfied.

The important thing to remember when negotiating a commercial lease is that everybody involved wants the transaction to go through. The Landlord wants to lease the space, the tenant wants the space and any brokers involved want the deal to go through. However, this doesn’t mean that anybody is willing to do whatever it takes to get the deal done. The Landlord wants to make a profit and the tenant wants to be able to afford their rent. Persistence is the key to winning and negotiation.

Real estate transactions can often be extremely complicated. In most cases a person should consider seeking the help of a commercial real estate professional when handling commercial leases. A buyer’s agent or tenant representative can be a big help in making sure that the lease is favorable to the tenant and not just the Landlord. This is often a no-cost service to the tenant as the Agent is typically able to negotiate that their fee be paid for by the Landlord.

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