Despite an upturn in the economy in many areas across the country, many shopping center owners, especially in areas that are still depressed, are desperate to fill vacancies at their centers. Prospective retail tenants, particularly small retailers, may be hesitant about going into centers...
It’s common for a lease to give an owner a share of any profit a tenant makes if it sublets or assigns its lease. But if you don’t specify this in your lease with the tenant you’ll miss out on this opportunity. And even if you do specify this in the lease, you still need to...
It’s crucial that your tenants are adequately insured. To make sure of this, your leases may list by name the insurance coverage that the tenants must get and maintain. If you think you’re covering all your bases by writing this into the lease in such a specific way, you could...
As a retail property owner, you’ve certainly spent time considering the tenant synergy—that is, stores functioning together to draw shoppers that a center normally wouldn’t capture without them as a group—that will maximize profits. That’s why the use clause in your...
A creditworthy tenant dealing with an overly cautious lender may be confident that its financing will go through, but won’t want to wait until the deal is complete before it signs the lease. Don’t be surprised if the tenant asks you to give it early access to its space, so that its...
Rent abatement clauses spell out the circumstances under which tenants are entitled to withhold rent. But if you don't draft them carefully, you may overlook specific items that can affect you later if the tenant exercises its right. Here are four Dos and Don'ts to follow to avoid...
Your lease will specify under what circumstances you and the tenant may terminate the lease. It'll also spell out the procedure you must follow to do so—for example, by giving 30, 60, or 90 days' written notice. If the provisions in your lease that govern termination rights are...
Whether you're negotiating your snow removal contract or approving your tenant's, the contract should:
Identify term of agreement and exact services to be performed. This includes which areas will be plowed; the minimum snow accumulation amount before plowing, sanding/...
Retail real estate experts predict that more, not fewer, national-brand “pop-up” shops will appear in shopping centers this holiday season than during the past few years. Pop-up shops can be a great way to add pizzazz to your center, but only if you protect yourself from common risks...
If you own a shopping center or strip mall, some of your retail tenants will probably ask you to allow them to operate during hours that are the most convenient for their businesses, even though you've set operating hours for the entire center. And you may be tempted to give some tenants,...
A smaller tenant that's negotiating a lease for space in your shopping center may want to negotiate a cotenancy clause that requires you to rent to a “national retailer.” You may be willing to include such a clause, especially if you're already negotiating a lease with a...
Nowadays, many restaurant tenants ask to use common areas next to their space as a patio area, where they can place tables and chairs, and serve food. These patio areas are cropping up all over—even in shopping centers. But if you allow the restaurant tenant to use part of your common...
