Property owners that lease commercial property to tenants should keep a close eye on the terms and conditions of their leases. It is all too common that a critical date or situation is overlooked in a lease and the landlord or property manager has to chase down and remedy the matter.
The key secret to keeping a commercial property on track is in understanding the leases and thoroughly actioning any date critical terms and conditions.
There are many things to look for but here are some of the main ones to monitor:
- Rent review dates
- Option to renew dates
- Lease expiry dates
- Renovation date requirements
- Insurance certificate of currency evidence
- Charges for outgoings
- Reconciliation of outgoings
- Payments of sundry charges under the lease
- Rent payment provisions
- Turnover reporting to the landlord
- First right of refusal provisions
The list can go on, but importantly the critical dates in a lease are handled and controlled. In this way the property can be optimised for the landlord and the tenant.
When it comes to marketing and selling your property, the time you spend on tracking and checking critical dates is invaluable in the long term.