Feature

Negotiate Provisions That Take Advantage of Center’s Redevelopment Plan

August 30, 2017    
The advantages of leasing in a strip mall or shopping center, rather than a stand-alone building, are numerous: good proprietary signage, a desirable tenant synergy, convenient parking, and visibility. And savvy tenants make sure that these benefits—which may be a large part of the reason...
Q & A

Avoiding Pitfalls of Lease Renegotiation

August 30, 2017    
Q: My business has been experiencing what I anticipate will be a temporary financial setback. I’m considering approaching the owner of the space I lease to ask for a renegotiation that would put things back on track. What are some possible ramifications and how can I avoid or minimize them?
Dos & Don'ts

Ask Owner for Space's Loss Factor Figure

August 30, 2017    
If the size of the space you’re considering leasing seems perfect, don’t overlook important issues like making sure that your business actually will physically fit the area. Just because a space is advertised as a certain number of square feet doesn’t mean that all of that square...
Dos & Don'ts

Don't Agree to Vague Automatic Renewal Clause

August 30, 2017    
If a right to renew your lease is very valuable to you, you might agree to an automatic renewal clause if that’s what the owner insists on. But if you don’t nail down the specifics of the automatic renewal’s terms it can work against you.
Dos & Don'ts

Ensure Owner Delivers on Incentives

August 30, 2017    
Guarantors who will back up the obligation of tenants who default on their leases are widely used for commercial real estate deals. But don’t forget that tenants aren’t the only parties that guaranties apply to. Getting a great deal on space is fantastic for tenants, but if you’re...
Tenant Wins

Tenant Not Bound by Covenant of Good Faith and Fair Dealing

August 30, 2017    
Facts: A shopping center owner decided to construct a new set of buildings within the shopping center grounds, which would house tenants that would be beneficial to its anchor store, a national clothing retailer. The retailer’s lease contains a clause that requires the owner to get the...
Feature

Get 'Springing' Exclusive if You Lease Space in Exclusive-Free Center

July 31, 2017    
Exclusive use is not just a way to guarantee success for some tenants who want a monopoly so to speak on selling certain goods or services. It’s also a hotly negotiated lease right. Because it’s on the radar for most tenants during negotiations, you might expect that all centers have...
Drafting Tips

Make Rent Rate Work for You Throughout the Year

July 31, 2017    
Tenants that make most of their profits during certain periods of time during the year can struggle in their off cycles, when their product or service is in less demand of not feasible for them to provide at all. For example, a store that really benefits from holiday sales, or seasonal businesses,...
Q & A

Take Seven Steps to Keep Lease for New Location Flexible

July 31, 2017    
Q: I’m expanding my retail business and looking for prospective shopping center space. Although the other locations I operate have done extremely well, the new location captures a slightly different customer base. I want to make sure that I have flexibility if things don’t work out...
Tenant Wins

Tenant's Use of Cooking Equipment Permitted by Lease

July 31, 2017    
Facts: A sushi restaurant began operating in the basement space of a mixed-use brownstone building that included other commercial space and some apartments. It became apparent that cooking odors were wafting into the first-floor commercial space, which was vacant but being shown to prospective...