AUSPL Member

My lease was scheduled to expire in February 2016. I am currently receiving $20 per square foot plus property tax reimbursement. CBRE contacted me last fall to begin negotiations. They offered me $15 per square foot which was far below market. The comps they cited were not at all comparable, metal buildings, warehouses and a post office that was almost 200 miles away.

I signed a listing with a local real estate agent to represent me. He was successful in finding comps that justified $20 to $24 rates. I wanted a 5% increase to $21 per foot but we eventually settled for a continuation of the $20 per square foot rate. The new lease is for 5 years at $20 and an additional 5 year option at $22. There is no option for the post office to terminate early. CBRE gave up on that fairly quickly.