Many companies are reconsidering their real estate positions as part of their overall long-term strategic planning due to the continuing decline in consumer confidence and the growing concern over the domestic credit market. Undoubtedly, many companies will elect to consolidate people and resources. As a result, building owners and managers are likely to see an increase in subleasing activity during the next few years.

While most leases provide considerable detail as to the standard for consenting to a proposed sublease, very few leases address the actual terms and conditions of an owners consent. As a result, many owners merely sign the form of consent proposed by the sub-landlord and and sub-tenant in the sublease, or they rush to draft an agreement. In either instance, owners oftentimes overlook important issues that may have significant impact on the owner/sub-landlord/sub-tenant relationship and, ultimately, the overall value of the asset.