rental area size changes everything

Natasha Atkin’s, Regional Manager of Spire’s Johannesburg division, notes that negotiable rentals are a key feature. “At Spire we look to negotiate rentals based on the size of the area that the tenant occupies. At Meadowbrook we are currently offering a rental of only R45/m2 if a tenant rents the entire available vacant space, but we are open to discussion on various area and rental options.”

“Because of these costs it can be difficult for some tenants to then also have to find money for their deposit and the first month’s rent. We can then structure a deal whereby we phase in the expenses and for example, the deposit would then be due later in the rental period and not upfront. We can also look at a structured contribution to the fit-out costs for the premises.”

“In fact, at Meadowbrook, which offers large vacant spaces from 1500m2 upwards, we are currently offering tenant-fit-out allowances of up to R5million, dependent on the agreement in place. Another such building is 6 – 8 Sturdee Avenue in Rosebank where we are currently offering tenants a double market fit-out allowance (again dependent on the agreement in place), with areas 300m2 upwards available. Here too we are offering negotiable rentals of R150 per square metre for the whole area,” says Atkins. “We are also able to work with a tenants existing lease to allow for relocation.”