The owner is in a different position. His business is land rental, and buildings are his main assets. The owner is highly motivated to plan for the long term and write conservative leases that maximize the return on their assets. A good real estate lawyer can help protect your interests, but is often unable to advise on business matters. Legally acceptable agreements can be bad business. And be careful about clauses that don`t clearly specify how the owner will calculate your share of the construction area. In one case where it was a ground-floor tenant whose lease did not contain a formula, a Pennsylvania court ruled that the tenant had to pay escalation in the same proportion as his rent at the full rent.2 A bad agreement for the tenant. The ground floor area is often more than double the cost per square metre of office space on the upper floors. Tenants may also have the right to lease the commercial space to a new tenant.
The original lease may prohibit or restrict sublease. If this is not the case, tenants can usually sublet. The fair interest rate of the market depends on many individual considerations, such as. B a tenant`s credit quality (for example, IBM will likely receive a discount compared to a two-year start-up because the owner`s risk is lower), the formula for calculating operating costs and the duration of the lease. If you accept a fair value renewal option, you indicate the factors that would be particularly important in your case. In addition, you insist that the space be appreciated for use as office space, even if it is not its “best use” during the renewal period. H) Stand above. If the tenant remains in possession of the demerited premises after the expiry of the initial tenancy period or an extension period without the execution of a new tenancy agreement, he is considered a tenant from month to month, subject to all the conditions, provisions and obligations of the contract, as long as this applies to a monthly tenancy agreement. , unless the basic rent is equal to