Commercial Leasing

The Firm proactively protects its clients in the review and negotiation of lease terms to ensure that economic terms, such as rental rates, security deposits and other forms of requested security, operating expense and real estate tax pass throughs, and marketing program costs, are fair and reasonable throughout the lease.

It is essential that our attorneys understand the needs and concerns of our client and anticipate certain protections that might be necessary for the future, such as (i) establishing financial information requirements regarding the tenant, (ii) providing for appropriate and reasonable levels of security to be provided by the tenant to the landlord, (iii) delineating the different parties' responsibilities for maintenance of the premises, (iv) considering the ability of a tenant to assign or sublet the lease, (v) planning for renewal options or rights of first refusal on additional space, (vi) ensuring the intended use is permitted in the applicable zone and in the building, and (iv) addressing adequate rights and remedies available to the parties in the event of defaults under the lease.

For retail leases, important issues to consider include (i) whether any required percentage rent payment provisions are fair and accurate, and (ii) whether the granting by the landlord of an exclusive use in the building or shopping center is appropriate and necessary.

Depending upon how long a lease term is and the percentage of a building a tenant will be leasing, it may be reasonable to request that the landlord obtain a non-disturbance agreement from its lender or ground lessor protecting the tenant in the event the landlord defaults on its underlying obligations.

It is important for landlords and tenants to clearly state in the lease who is responsible for the different aspects of constructing the space for use by the tenant and determining who is responsible for the costs associated therewith. Will a landlord give a construction allowance toward a tenant's improvements? The Firm's attorneys work closely with clients, their architects and space planners to determine what the tenant will need and if the landlord is adequately providing, or whether the landlord should be required to provide, improvements and services to meet those needs.

Rising liability concerns and soaring costs for insurance make it ever more imperative to make certain that the insurance requirements in a lease adequately protect all of the parties involved.