News & Analysis as of

Commercial Leases Landlords

Commercial landlords beware! Time to modify your lease form allowing encumbrance of tenant’s interest?

by Thompson Coburn LLP on

The California Court of Appeal recently held that a lender that took possession of a defaulting tenant’s premises and then transferred its interest to a third party was not liable to the landlord for future rent. In BRE DDR...more

Commercial Leasing Issues: Understanding Net versus Gross Leases

The question may arise as to which party pays for the operating costs in a commercial lease. Generally speaking, “Net” leases are those leases in which the operating costs are not included in the base rent and “Gross” leases...more

A Game-Changer for Industrial and Commercial Leasing? 'Business-to-Business' Services and the 'Ultimate Consumer' Test

by K&L Gates LLP on

A recent decision of the Court of Appeal has potentially far reaching implications for industrial and commercial leasing practice in Victoria. The Court of Appeal's decision in IMCC Group (Australia) Pty Ltd v CB Cold...more

How much is too much? NY AG stops Simon Property from enforcing its 60-mile radius restriction

by Thompson Coburn LLP on

In shopping center leases, the landlord may agree to protect current tenants with exclusive use provisions, blocking future tenants from competing with the already existing businesses...Landlords also limit tenants’ uses...more

“Spanish Peaks” and Leases in a Landlord’s Bankruptcy – Tenants Beware!

The recent Spanish Peaks decision from the Ninth Circuit (covering Alaska, Arizona, California, Hawaii, Idaho, Montana, Nevada, Oregon and Washington) deepens the split in case law on the ability to strip off leases in a...more

Surviving the Retail Shift: Part 2 of a 5 Part Series – A Landlord’s Duty to Mitigate its Damages

by Polsinelli on

In Part I of this five part series, we addressed managing the legal process to help commercial landlords achieve the most efficient results when dealing with defaulting retail tenant. But, what happens once the shopping...more

News from AGG's Retail Industry Team - Summer Edition

Title III of the Americans with Disabilities Act (ADA) provides “[n]o individual shall be discriminated against on the basis of disability in the full and equal enjoyment of the goods, services, facilities, privileges,...more

How Does a Foreclosure Affect a Retail Lease?

A foreclosure by a lender of a landlord’s property terminates all subordinate leases on the property. In the absence of an SNDA, then whether a lease is subordinate is determined by the timing of the mortgage or similar...more

Commercial Tenant Debtors in Chapter 11: Fundamentals of Landlord Creditor Protection in Bankruptcy

by BakerHostetler on

Commercial landlords have unique protections in bankruptcy, but can lose these rights if they do not assert them. When a commercial tenant files bankruptcy under Chapter 11, the landlord must carefully monitor filings and...more

Iris House Provides Valuable Reminder to Landlords About Non-Profit Renters

Recently, the Supreme Court, Appellate Term, First Department, handed down a decision affirming the lower court in 2363 ACP Pineapple, LLC v. Iris House, Inc, 2017 NY Slip op 27047. As the attorney on this case, Michael D....more

Arizona appellate court takes the high road and enforces a commercial lease to operate a medical marijuana dispensary

by Thompson Coburn LLP on

In a case of first impression in Arizona, the Court of Appeals in Green Cross Medical, Inc. v. Gally (April 18, 2017) held that a lease to operate a medical marijuana dispensary was not void from its inception, either under...more

Landlord Rights and Responsibilities in Commercial Tenant Bankruptcies

Landlords beware: You may not be able to rely on all the remedies found in your lease if your tenant files bankruptcy. For example, the bankruptcy section of your lease may provide that the tenant filing a bankruptcy petition...more

In Self-Renewing Lease, Tenant Has Burden of Proving Timely Termination

by Pierce Atwood LLP on

In a case of interest to commercial landlords and tenants, the Massachusetts Appeals Court recently ruled that where a commercial lease is self-renewing but can be terminated on six-months’ notice to the other side, the party...more

The Trend Toward Greater Integration Of Foodservice Operators In Retail Real Estate

by Cole Schotz on

The International Council of Shopping Centers (ICSC) recently released an interesting report prepared in collaboration with Jones Lange LaSalle (JLL) entitled The Successful Integration of Food & Beverage Within Retail Real...more

Landlords Who Violate Bankruptcy Stay May be Ordered to Pay Emotional Distress Damages and Punitive Damages

by PretiFlaherty on

Landlords should use caution in attempts to take possession of leased space once a tenant files bankruptcy. Recently, in Lansaw v. Zokaites, the Third Circuit Court of Appeals upheld an order of the Bankruptcy Court for the...more

A Forgotten Tool for Commercial Landlords - Statutory Landlord’s Liens

by Davis Brown Law Firm on

The laws of Iowa give commercial property lessors/landlords an often forgotten tool to use when a tenant owes rent and other monthly lease expenses defined as “rent” under the lease agreement. This tool is called a statutory...more

Are ‘Gross Up’ provisions gross in commercial leases?

by Thompson Coburn LLP on

It is common in commercial leases for the tenant to pay a pro-rata share of the operating expenses of a building, in addition to base rent. Operating expenses include expenses incurred by the landlord in operating, repairing...more

Landlords Beware: Subordination Agreements

by Snell & Wilmer on

In the recent Arizona Court of Appeals case Earle Investments, LLC v. Southern Desert Medical Center Partners, 762 Ariz. Adv. Rep. 12 (2017), the Court of Appeals addressed the question of the scope of a subordination...more

Lenders And Leases: Important Legal Issues

by Snell & Wilmer on

Financial Institutions that make loans on commercial real estate frequently have to contend with issues pertaining to commercial leases. Aside from the underwriting issues, there are numerous legal issues that can arise in...more

‘Home Improvement’ decision may provide tools for drafting, managing CAM in commercial leases

by Thompson Coburn LLP on

In California, commercial lease tenants typically pay a portion of the common area maintenance expenses or "CAM." Commercial leases also generally include the right of the tenant to audit the landlord's CAM statement each...more

Dilapidations Claims: Repair or Despair?

by Reed Smith on

How can landlords make sure they can claim for the diminution in the value of their reversion when the lease of a dilapidated property comes to an end? Doing no work but hoping to claim was not a successful strategy for the...more

News from AGG's Retail Industry Team - Spring Edition

by Arnall Golden Gregory LLP on

By now, we’ve all realized that rideshare services such as Uber and Lyft have materially impacted a number of industries during their relatively short lifetimes. For this real estate lawyer, 2016 represented the year in which...more

Lease Assignment Provisions—Why They Matter

by Arnall Golden Gregory LLP on

When a tenant assigns its rights and interest under a lease to a successor tenant, the enforceability of the assignment and its legal consequences are usually addressed and governed by language in the assignor-tenant’s lease...more

Lien on Me: When is a Landlord Liable to a Tenant’s Contractors and Suppliers?

by Arnall Golden Gregory LLP on

Almost every commercial retail lease provides that the tenant shall not allow any materialman’s or mechanic’s liens to be filed against the landlord’s real property. Moreover, in the event that a contractor or supplier does...more

Leasing Retail Stores in New York City

by Carlton Fields on

New York City is a fascinating and dynamic retail market. It is also one of the most competitive and challenging, requiring a careful and methodical approach to leasing to avoid potential commercial and legal pitfalls. This...more

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