Leasing Illustrated

Mar
26
2021
Termination options allow a tenant to terminate its lease before the scheduled expiration date by providing notice and usually a termination payment. This is a very valuable tool, especially in these COVID times, but exercise of the right can be tricky. In today’s issue, we offer seven suggestions when exercising an existing termination option in a lease.
Feb
26
2021
Commercial retail tenants need the ability to "go dark" or shut down their business, at least on a temporary basis, but landlords want their retail tenants to operate on a continuous basis, especially if percentage rent or co-tenancy provisions are involved. To add to this mix, we are finding that some retail tenants are now using their continuous operation provisions to create some leverage with their landlords. In today's issue, we raise eight suggestions when preparing the continuous operation language in your retail lease.
Jan
29
2021
As 2020 (finally) gets out of our way and makes room for 2021, we have been reading through a number of articles and studies prognosticating about what is in store for commercial leasing in the days and months ahead. In today's issue, we review eight trends to watch out for in 2021.
Jan
08
2021
Most leases require that the tenant surrender its premises at the end of the term in good condition (subject to ordinary wear and tear), with the tenant's alterations and personal property removed and any damage from such removal repaired. Tenants need to limit such obligations to ensure that they do not end up responsible for readying a space for the next tenant when this work should be the obligation of the landlord. In today's issue, we provide six removal / restoration suggestions to cover when you reach the end of your lease term.
Nov
21
2020
Tenants wanting the ability to renew their lease at the end of the lease term need to negotiate prior to lease execution a unilateral right to exercise such renewal and an equitable method to determine the future rent. A methodology to determine a reasonable rent will ensure that the landlord will negotiate in good faith. In today's issue, we provide seven essentials to cover when negotiating a renewal right under your lease.
Oct
23
2020
Tenants wanting the ability to renew their lease at the end of the lease term need to negotiate prior to lease execution a unilateral right to exercise such renewal and an equitable method to determine the future rent. A methodology to determine a reasonable rent will ensure that the landlord will negotiate in good faith. In today's issue, we provide seven essentials to cover when negotiating a renewal right under your lease.
Sep
29
2020
The commencement date of a tenant's lease signifies more than just its right to possession of the premises. The rent commencement date, the expiration date and the tenant's lease obligations (among other things) are all triggered by the commencement date. In today's issue, we provide ten important areas to cover when defining the commencement date under your lease.
Aug
21
2020
The New York City Administrative Code has been amended to try to relieve the harm to certain retail businesses that have complied with Executive Orders with respect to COVID-19. The law makes certain guaranty provisions unenforceable against natural persons who are liable for payment of a tenant's rent due to lease defaults between March 7, 2020 and September 30, 2020. Enforceable? Who knows. But similar laws are undoubtedly cropping up around the country and, if nothing else, can be a helpful bargaining chip when a guarantor is negotiating with its landlord. In today's issue, we provide four items to keep in mind with respect to these laws.
Jul
24
2020
As the world (including the commercial leasing world) comes to grips with COVID-19, we expect we will soon enter a period of expanded subleasing activity. This will require that agreements be put in place with experienced real estate brokers. In today's issue, we raise five issues to address as a sublandlord when negotiating a co-broker agreement with the subtenant's broker or "outside broker."
Jun
26
2020
At some point soon, we will all get back to "normal" (whatever that may ultimately mean) and leasing and subleasing will move forward. When that happens, tenants and landlords will need to figure out how COVID-19 or other pandemics should be addressed in future leases. In today's issue, we provide seven suggestions regarding how to handle a pandemic when structuring a new commercial lease.