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Legal Help for Commercial Real Estate Landlords in California

Dealing with Tenants: Create a Solid Lease to Maximize Profits

When it comes to tenants, the lease is one of the most important documents involved in maximizing investment profits. It determines revenue, expenses and responsibilities. When negotiating commercial leases, an investor and his or her attorney must focus on:

  • Preserving your net economic returns
  • Eliminating unforeseeable, unquantifiable or uninsurable risks that could reduce an investor’s returns
  • Maintaining the value of your building and the status of your tenant mix

The lease is frequently prefaced with some kind of letter of intent or offer/counter-offer negotiation. Key negotiating points in a lease include:

  • The lease commencement date
  • Payment of tax and operating expenses
  • Assignment and subleasing
  • Damage and destruction provisions
  • Tenant work letter

Today there is a proliferation of brokers specializing in “tenant representation”. The property owner needs to be proactive from the beginning in guarding their rights and avoiding unnecessary costs.

Lerman Law Partners stands ready to assist you at any cycle in the ownership of real estate. We have over 85 combined years of experience in California real estate investor law, and can put this experience to work to maximize an investor’s profits and minimize risk.

In addition to the lease, the lawyers at Lerman Law Partners can help negotiate other contracts, including easement agreements, reciprocal easement agreements, license agreements, covenants and conditions and restrictions (CCRs).

Hire the Lawyer Hired to Speak at National Conventions

Lerman Law Partners is frequently asked for speaking engagements and for expert opinions by the media. Following is an excerpt from a Jeffrey H. Lerman presentation called Conflict Resolution Between Landlords and Tenants: Strategies for Commercial Landlords.

Make litigation your last resort. Consider alternatives, but litigation may be unavoidable if:

  • Tenant threatens to abandon or has abandoned
  • Tenant negotiating in “bad faith”
  • No compromise reached after 30 days of mutual good faith negotiations

Count on the law firm devoted to real estate investors. Contact us today. We have offices in San Rafael and San Francisco.

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