Indicative net rent ranges for quality industrial space. Add $4–$8/SF for operating costs (taxes, insurance, maintenance).
How to Compare Industrial Lease Options.
Industrial leases in Ontario and Alberta are almost always net (NNN) — you pay base rent plus your pro-rata share of property taxes, insurance and maintenance. Budget $4–$8/SF additional above net rent for these operating costs.
Landlords want long terms (5–10 years) for large spaces. Tenants need to balance commitment against operational flexibility. Negotiate renewal options and early termination rights before signing.
In tighter markets, TI allowances are minimal. In softer markets, landlords may offer $15–$40/SF in TI against a long lease. Know your build-out costs before negotiating the allowance.
A fixturing period (rent-free time to fit out) is standard. Negotiate this based on the complexity of your fit-out. A fixturing period of 1–3 months is common for most industrial users.
Ask for 2–3 years of operating cost history before signing. Surprises in property tax assessments, roof repairs and HVAC maintenance can materially impact your total occupancy cost.
Negotiate broad assignment and subletting rights — they are essential if your business changes, is acquired or needs to shed space. Landlords will push for approval rights; ensure these can't be unreasonably withheld.
Where Lucero Sources Industrial Space.
Tell Us What Industrial Space You Need.
Size, market, clear height, loading requirements, timeline and budget — submit your requirements and Lucero will match you directly to available industrial space including off-market availability.