Overview
When negotiating a 70K square-foot lease, a landlord balked at giving our client a right to offset against rent any portion of the $4.5M improvement allowance that the landlord failed to pay. The landlord argued that giving an offset right would affect the ability to finance the project. We would not move forward without the offset right, pointing out that the allowance was already included in the amount the landlord was borrowing from the lender. After the landlord relented and granted the right, the offset issue had to be addressed directly with the lender in a nondisturbance agreement. When the landlord was later unable to fund the allowance and went into receivership, the offset right in the lease and the nondisturbance agreement saved our client significant damages, as the tenant improvement allowance was funded as free rent.
Our Difference
Sometimes, all the parties in a deal aren’t at the table when the lease is signed. Loan defaults, changes in ownership…you need a team experienced enough to know how to ensure controls are in place for the person in front of you today, and for the parties you might be sitting next to years down the road.
Our ability to consistently partner with you and maximize your savings is exhibited by our extensive list of long-standing clients across the nation. Our approach is well-established and uniform across the firm, so every attorney has your business interests at heart. Several on our team come from a background of working as in-house counsel in major corporations, which gives us a unique understanding of the budget and time constraints you’re up against.
Many of our clients have partnered with us for decades, due to our forward-thinking approach, thorough work product and level of client service that is informed by today’s world. Ask Melissa or any member of our Corporate Real Estate team how we can help your portfolio bring strategic value to your company’s bottom line.