Renting a commercial property is a significant step for any business, whether you’re launching a start-up or expanding into a new location. The Northern Beaches offers a diverse range of commercial spaces ideal for retail, office, medical, and industrial use, but securing the right property requires careful planning. This guide outlines key considerations to help you navigate the process of renting a commercial property in the Northern Beaches with confidence.
Types of Commercial Leases
Before signing a lease, it’s important to understand the different types of commercial leases commonly used in Australia:
- Gross Lease: The tenant pays a fixed rent, and the landlord covers most outgoings.
- Net Lease: The tenant pays rent plus a share (or all) of the property’s outgoings such as council rates, insurance, and maintenance.
- Percentage Lease: Typically used for retail properties, this involves base rent plus a percentage of the business’s turnover.
Each lease type has its pros and cons depending on the size and nature of your business. Understanding these structures will help you negotiate more favourable terms.
Assess Your Business Needs
Identifying your space requirements early can save time and money. Think about:
- Size: Consider the square metres needed for operations, stock, staff, and potential growth.
- Zoning: Ensure the property is zoned appropriately for your business activity.
- Visibility and Access: High foot traffic, signage potential, and access to major roads or public transport can be critical depending on your business type.
Clarify your must-haves versus your nice-to-haves, and match your goals with the right type of premises. Whether you need a storefront in Manly or a warehouse in Brookvale, the right location can influence customer reach and operational efficiency.
Budgeting and Financial Planning
Commercial rents vary depending on size, location, and building condition. Beyond the base rent, also consider:
- Outgoings (property maintenance, council rates, strata levies)
- Fit-out costs
- Utilities and internet
- Legal and advisory fees
Work with your accountant or financial advisor to establish a realistic budget. It’s also important to factor in bond payments (usually equivalent to 3 to 6 months of rent) and rent reviews that may occur annually.
Understanding the full cost of occupancy helps avoid surprises and supports long-term financial planning.
Legal and Regulatory Considerations
Commercial leases are complex legal documents, and it’s vital to engage a solicitor or lease specialist to review the terms. Key items to assess include:
- Lease duration and renewal options
- Rent escalation clauses
- Responsibility for repairs and maintenance
- Permitted use clauses
Also be aware of statutory obligations like compliance with building codes, accessibility standards, and fire safety regulations. Being proactive ensures your lease protects both your business and legal standing.
Conducting Due Diligence
Before committing to a lease, inspect the property thoroughly. Assess the building condition, utilities, accessibility, and compliance with your business needs. Ask for:
- A copy of the building plans and zoning certificate
- Details of any known defects or restrictions
- Disclosure of outgoings and recent utility bills
Speak to neighbouring tenants to understand foot traffic and business climate. Checking these details early can help you avoid costly oversights or operational limitations down the track.
Finalising the Lease
Once you’ve found the right property and reviewed the lease terms, work with your solicitor to finalise the agreement. Be sure to:
- Confirm the commencement date and rent-free periods (if applicable)
- Secure written confirmation of any negotiated conditions
- Register the lease if required (usually for leases longer than three years)
At this stage, you may also begin planning your fit-out and coordinating move-in logistics. Landlords often require approval of proposed fit-outs to ensure compliance with building standards and aesthetics.
Assess Long-Term Business Impact
Renting commercial space is more than a short-term transaction—it’s an investment in your business’s future. Consider how the location and lease terms will affect your:
- Brand visibility
- Access to customers and suppliers
- Staff recruitment and retention
- Flexibility for expansion
Aligning your commercial lease with your strategic goals can position your business for long-term success in the Northern Beaches.
Lease a Commercial Space in the Northern Beaches Through Upstate
Finding the right commercial property takes more than browsing listings. With deep local insight and a track record in commercial leasing, Upstate supports businesses across the Northern Beaches with tailored advice and comprehensive market knowledge.
Whether you’re entering your first lease or upgrading to support growth, our commercial team offers end-to-end guidance to help you find a space that meets your needs today and into the future. Reach out to Upstate to explore available listings and start your commercial leasing journey with a partner who understands your business vision.
