Leasing commercial space can feel like trying to read the fine print on a greasy takeout menu—confusing and a little overwhelming. But if you’re a small business owner dreaming of opening your first café, workshop, or boutique, there’s one thing you need to get straight: index leases. Now, these leases aren’t as scary as they […]
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Small business owners are guaranteed to face unexpected shifts throughout their tenure. This could include a myriad of scenarios: market changes, financial constraints, or the need to relocate. These challenges can make a long-term lease feel like a heavy anchor, but there are ways to approach termination strategically. The goal is to exit while minimizing
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First things first-what is it? External obsolescence refers to the depreciation of a property’s value due to factors outside the owner’s control. Unlike physical deterioration or functional obsolescence, which stem from issues within the property, external obsolescence is caused by external changes in the surrounding environment, economy, or regulatory landscape. For commercial properties, this could
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What Are They? Arm’s length transactions in commercial real estate occur when two unrelated parties negotiate a deal independently and without external pressure. Each party operates in their best interest, ensuring fair market value for the property. These transactions are essential in maintaining transparency and integrity in high-value deals like office buildings, retail spaces, and
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What Are Easements? Easements are legal rights that allow one party to use another party’s land for a specific purpose, without transferring ownership. In commercial real estate (CRE), easements are especially important as they often affect access, utility lines, or property boundaries. For instance, a property owner may have to grant a utility company the
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Latent defects are hidden issues in a property that are not immediately apparent during a standard inspection. Unlike patent defects, which are visible and can be noticed upfront, latent defects often go unnoticed until after a property is purchased or leased. These could include things like hidden mold, faulty plumbing behind walls, or structural issues
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Specific performance is a legal remedy in real estate that requires a party to follow through with their end of a deal, instead of just paying damages for not doing so. It’s a tool that’s typically used when financial compensation wouldn’t be enough to make the other party whole—especially in real estate, where properties can
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Commercial leases may seem straightforward, but they often hide terms that could lead to costly surprises down the road. Whether it’s sneaky rent escalations, surprise maintenance costs, or ambiguous clauses that favor the landlord, it’s important to catch these issues before signing. A thorough lease review from a lawyer can be worth its weight in
How Much Does it Cost for a Lawyer to Review a Commercial Lease? [CALCULATOR] Read More »
Loss to lease represents the difference between the market rent a property could command and the actual rent being collected. This discrepancy often arises due to long-term lease agreements or outdated rental rates. For example, if the market rent for an office space is $50 per square foot but the current lease agreement only charges
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Commercial leases could be considered as the infrastructure backbone of many business operations. After all, it provides the space and security companies need to thrive. Among the various types of leases, the perpetual lease stands out as a unique arrangement. A perpetual lease, also known as a permanent or evergreen lease, offers an indefinite leasing
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