Issues Related to Turnover of Leased Premises at Expiration of Lease Term

When landlords and tenants are engaged in the negotiation and drafting of a lease, all too often, their attention is focused on those matters that are the first to occur. As a result, too little attention is paid to the issues surrounding the return of the premises when the lease term expires. Obviously, the business terms of the transaction such as rent, operating costs, and construction allowances all must be identified before a deal can be reached. Furthermore, those matters that have a direct impact on the tenant's occupancy and use of the premises are of clear importance to the parties from an operational standpoint. However, when the landlord and tenant fail to give the same level of consideration to the expiration of the lease term that is given to the commencement of the term, problems can arise.