Topic: Drafting Tips

Guard against the risk that the tenant wasn’t as good a bet as you originally thought.

Sign an agreement with the tenant that fixes the exact cost of the improvements.

Set four conditions the assignee must meet.

If the tenant’s buildout doesn’t meet accessibility requirements, you could be liable.

If you have a duty to mitigate, insert lease language that sets limits on your mitigation duties.

State in a clear and precise way exactly what the concession does and doesn’t cover.

Don’t let vague language compromise the effectiveness of holdover step-ups.

Tenants may try to hide the real profits they make from a subtenant or assignee.

Tenants may insist on the right to install special equipment on the roof of the building so they can operate their business within the space they lease from you. Among other things, reserve the right to make the tenant physically shield or screen the equipment so that it doesn’t create a public eyesore that mars your building’s image and appearance.  

Standard HVAC provisions aren’t enough to protect you when tenants want to use split A/C units. We explain, and give you a Model Lease Clause you can adapt to your own circumstances.