What are Standard Security Deposits for Commercial Ware House Spaces?

However the prospective of land-lord or tenant’s usage give substantial tenant enhancements if we talk about warehouses. Mostly owners ask for 4-5 months security deposit minimum for short term and offers warehouse space for lease. Many time businessmen prefer long term industrial warehouse for rent. A good tenant always appraise strong lease and with obviously low level risk. 

Commercial ware house spaces are cost affective base to couple of factors, one is security deposit standard. Now you need to understand the standard of security deposits for commercial warehouses in Dubai.

 

Industrial warehouse for rent |Flash Group

Here I’m going to specify some of the crucial factors effect standard of security deposit if we talk about warehouse space for lease;

•     Placed inn location:

This is one of the direct factors, playing Vital Role creating rise in Cost with Demand in a reasonable Ratio. The Ware Houses which are located near to the Market area, Port or Transport Sourcing Areas.

•     Reap profit margins:

Near the Market areas, will attract minimised costing on the shifting goods from ware house to the Seller area or Market, in short period accelerating pace to reap Profit Margins. It is a kind of win the situation for the Landlord and the Tenant.

•     Mega transport sources:

Same way, the ware houses near the Mega Transport Sources, enables the maximum Goods transport to the Distant Market or End destinations, pushing the profit margins to the optimum possible Levels.

•     Alteration & modification done as per requirement:

This is a very calculative and Logical Factor, which is directly proportionate to the Tenant’s requirement to optimise the Storage / Activity to create a comfort zone to multiply the usage capacity or Generating the maximum Profit Margins. Technically the above said scenario is defined to the Plug and Play set up, enabling the Tenant to Start the business activity in full swing from day one and reach the desired target in Business achievements.

•     Market trading value:

Factor one, may have a Market trending value. As Landlord competition is more, henceforth there will be bench mark followed.  Usually, it will go as per standard Market Rate, rather than the Landlord demanding, there would be standard tariffs.    

•     Tenant usage:

In General for Commercial Ware House Security Deposit will be amounting of 2 month Rent and some area due to high demand, the Security Deposit   is collected for 3 – 4 months with a yearly renewable agreement with the Do’s and Don’ts clauses, Some Commercial ware house or properties will be exceptional compare to normal market, having more modifications as per the tenants usage or location feature with Ill competition will always fetch much higher Security Deposits.

•     Minimise the project costing:

As suggestion note to the Business Start-ups,  it is always advisable to minimise the business/project costing, the required ware house or the commercial space is a changeable factor should be a little away from Market, Port and Transport sourcing areas, to reach a comfortable & steady stand , rather than spending exorbitantly to make some saving. 

Relating to the above said factors, the Security Deposits are a bit high, as per the Market.

Flash Group perceived the exact degree of the financial position of the businessmen require industrial warehouse for rent. Then request for attendant security deposit as per the standard. They offer great and reasonable warehouse space for all short-term or long term prospects as per the market request in a feasible rate.