Most Companies Start Too Late
One of the most common mistakes tenants make is waiting until just a few months before their lease expires to start discussions with the landlord.
In practice, this means giving up their most important negotiating advantage: time.
The less time remains before lease expiry, the greater the pressure on the tenant — and the less opportunity there is to secure better financial terms, additional incentives or greater lease flexibility.
That is why an effective lease renegotiation does not start with a meeting with the landlord. It starts much earlier, with a well-prepared strategy.
When Should You Start the Process?
Leases up to 1,000 m²
Recommended time to start the analysis: 12–18 months before lease expiry.
This gives you enough time to:
- assess current market conditions,
- explore alternative locations,
- prepare your budget,
- create genuine competition for your existing landlord.
Leases between 1,000 and 5,000 m²
Recommended time: 18–24 months before lease expiry.
For larger organisations, the decision-making process is usually more complex and may involve:
- the Management Board,
- finance,
- HR,
- IT,
- Administration / Facilities.
A potential relocation also requires additional time to plan, design and deliver the new office.
Leases above 5,000 m²
Recommended time: 24–36 months before lease expiry.
For large occupiers, landlords often plan their leasing strategies several years in advance. A tenant who starts the process early can therefore build a significantly stronger negotiating position.
Why Does the Landlord React Differently When You Have Time?
The tenant’s strongest negotiating tool is a credible alternative.
If your landlord knows that you:
- are actively considering other locations,
- are negotiating with competing buildings,
- have sufficient time to relocate,
their motivation to retain you increases significantly.
This makes it easier to negotiate:
- lower rent,
- stronger incentive packages,
- greater lease flexibility,
- additional expansion or contraction rights,
- better parking terms.
Signs That You Should Start the Analysis Now
You do not have to wait until the final year of your lease. It may make sense to start earlier if:
Your company is growing faster than expected
Your existing office may soon become too small.
Your headcount is decreasing or your company is moving towards hybrid working
You may be occupying more space than you actually need.
Your occupancy costs are rising faster than your budget
Renegotiation may help you control future cost increases.
Your organisation’s strategy is changing
A different location may better support recruitment, company culture or future business growth.
Renegotiation or Relocation?
This is one of the first questions you should answer.
In many cases, staying in the existing building is ultimately the best solution.
However, an effective renegotiation requires a clear understanding of the real alternatives available in the market.
A professional process will therefore typically include:
- an assessment of your current situation,
- verification of your business and workplace requirements,
- a market review,
- a comparison of the cost of staying versus relocating,
- development of a negotiation strategy.
Only then can you make a fully informed decision.
The Most Common Mistakes Tenants Make
Starting negotiations too late
The most common — and often the most expensive — mistake.
Negotiating exclusively with the existing landlord
Without credible alternatives, your negotiating position is significantly weaker.
Focusing only on headline rent
The true cost of occupancy goes far beyond base rent. Other important factors include:
- financial incentives,
- fit-out costs and contributions,
- service charges,
- parking costs,
- lease flexibility.
Negotiating without a strategy
Negotiations conducted without a clear plan and defined objectives will usually produce a weaker outcome.
How Does the RE+ Process Work?
Stage 1 — Current Situation Assessment
We review your existing lease, occupancy costs and the organisation’s current and future requirements.
Stage 2 — Market Analysis
We assess the available alternatives and benchmark the commercial terms offered by competing buildings.
Stage 3 — Strategy
We develop recommendations and determine whether renegotiation or relocation offers the stronger business case.
Stage 4 — Negotiations
We represent the tenant in negotiations with the existing landlord and, where appropriate, with landlords of alternative buildings.
Stage 5 — Implementation
We support our client through to document execution and implementation of the agreed solution.
Summary
If your lease expires in less than 18 months, this is probably the right time to start reviewing your options.
The earlier you begin, the greater your ability to create genuine alternatives — and the stronger your chances of securing better financial terms and greater lease flexibility.