It’s the most common mistake made by office tenants: missing a huge opportunity — and losing truckloads of money — by negotiating their own lease renewal. More than 90 percent of companies who lease 5,000 square feet or more seek new office space with the help of real estate professionals when they are relocating or establishing a new office.

But when seeking a renewal, that same company abandons this proven approach. They go it alone, negotiating without professional representation because they feel it’s "only" a renewal.

Approximately 80 percent of tenants who negotiate directly with their landlord simply stay in their current space without evaluating alternatives. When your landlord assumes you’re unlikely to move, your negotiating leverage is eliminated.

Tenants who are "only renewing" need professional representation even more than when they’re searching for new space for several reasons …

1. Send the right message

Landlords do offer concessions to renewing tenants, but only if they know they’re competing for your tenancy.

2. Experienced landlord vs. inexperienced tenant: who wins?

The landlord and their team negotiate multiple deals a year. Most tenants will only be involved in a handful of leases in their entire career.

3. Know what your lease renewal means to your landlord?

If you negotiate your lease renewal on your own, it’s impossible to know the countless variables involved including market dynamics, specific or pending movement in your building and other key information such as:

• What are your neighbors doing?

This vital information will give you a very telling snapshot of the current and pending activity of nearby tenants.

• What is your building’s "true" vacancy rate?

There’s the landlord’s stated vacancy rate, published vacancy rate (often including subleases) and pending future vacancy rate.

• How do you compare to other tenants?

Business risk, stature, track record and growth opportunity should all figure into your negotiating position.

• How does your building compare?

How do other buildings rate in terms of amenities, class of space (A, B, B-), electric capacity and more?

4. More dollars at stake

The cost of your renewal may become the second or third largest expense of your business. In this economic climate, landlords are providing free rent, lower base rent and tenant improvement dollars to renewing tenants who know how to ask for it and how much to ask for, based on market conditions specific to their landlord and geographic area.

5. Change

Markets change; building conditions change; even your landlord may have changed since you last signed your lease. As a result, new concessions may become available.

6. Cost

Your out-of-pocket cost for a commercial real estate broker is a nice round number: $0. A tenant representative’s fee is paid by the landlord as a percentage of the lease value.

7. Avoid the "Lame Duck" Syndrome

The same tenants who drive a hard bargain when negotiating for new space, roll over and play dead when negotiating a renewal.

Many tenants wish to avoid "rocking the boat" during renewal negotiations since they must live with the landlord after the lease is signed. However, with an experienced tenant representative, negotiations are handled at arm’s length, in a professional, diplomatic manner; tenants gain peace of mind by comparing their landlord’s offer to the most competitive opportunities in the market, with relocation expenses included; and the tenant benefits from flexible lease clauses customized to meet changing business needs. So, think twice before going it alone!