Location, Location--and Price

His advice for commercial lease-shoppers: Pay special attention to the opt-out clause if it is a long-term lease. "What if your business experiences a downturn or you have health concerns?" he says. In addition, look closely at the basic physical components of the property such as the air conditioner. Finally, if you do negotiate favorable terms, think about a 10-year lease. "With the right lease, it can’t hurt," Smith says.

Renter's Reprieve
"It is a tenant’s market," says Jerry Messonnier, broker associate, CB Richard Ellis.

According to the 2007 third quarter CoStar Group’s report for Southwest Florida, vacancy rates are up and rental rates are down in all three commercial real estate categories: industrial, office and retail. Currently, average rental rates per square foot for Southwest Florida stand at $9.36, $20.72 and $20.44, respectively.

"There is an oversupply of product with additional space under construction. In this market, it is not a function of price, but the fact that there are not enough potential tenants looking to rent the space."