In this article, you'll learn:

• Landlords offer concessions like free rent and improvement allowances to attract tenants.
• Free rent helps tenants with moving costs but doesn’t cover operating expenses.
• Lower rent escalations and tenant improvement funds reduce costs for tenants.
• Building signage rights enhance tenant visibility at minimal cost to landlords.

Whether an office suite sits empty for a day or a year, the property owner is losing money when no one is paying rent. In order to avoid lengthy vacancies and find tenants quicker, landlords may offer certain concessions that are meant to sway potential space users towards choosing their building over other competing properties. Concessions, however, are more than a simple marketing gimmick; they can save tenants thousands of dollars over the term of their lease.