Work Letter 'What Ifs'
April 02, 2017
<b><i>Part Two of a Two-Part Article</b></i><p>Landlords and tenants enter into agreements, known as "Work Letters," delineating their respective rights and obligations with regard to tenant and landlord improvements. As with any other portion of the lease, complications can develop, so addressing potential Work Letter issues within the contract can pay dividends down the road.
<b><i>Yellowstone</i></b> Injunctions When Prompt Cure Is Impossible
April 01, 2017
Most real estate practitioners are well acquainted with the <b><I>Yellowstone</I></b> injunction and its importance in preserving the status quo while allegations that a commercial tenant has breached its lease are litigated. But the third Yellowstone prong — timeliness of the motion — is especially important.
Challenges in Drafting a Restaurant Exclusive Use Clause
April 01, 2017
The reasonable and typical middle ground in the struggle between the parties regarding the scope of the "exclusive" is to protect only a tenant's "core" or "primary" business. Using such an approach, if properly drafted, will allow the tenant to avoid the two-coffee-shop situation, but will still permit the landlord to lease to multiple tenants with overlapping but not fundamentally competing uses.
Landlord Solutions For Avoiding Uncertainty
March 02, 2017
<b><i>Key Considerations When Negotiating Personal Guarantees to Commercial Real Estate Leases</b></i><br>In today's commercial real estate market, uncertainty is about the only real thing that is certain. In this period of flux, where landlords no longer enjoy the same position of strength and leverage they once had over prospective tenants, it is critical to try and negotiate independent guarantees that best suit each particular deal and (hopefully) hedge against the downside of a potential tenant default and resulting litigation.
Top 10 Equipment Acquisition Trends for 2017
March 02, 2017
Compiled through industry research, industry participants' expertise and ELFA member input, the trends are designed to help businesses and other organizations as they execute their equipment acquisition strategies during the coming year.
Long-Term Leases In PA
March 02, 2017
In a case decided on Oct. 17, 2016, the Commonwealth Court of Pennsylvania rejected a long-standing position taken by the Pennsylvania Department of Revenue dealing with when renewal periods must be added to the initial term of a lease for realty transfer tax purposes.
Expanding the Scope of Good Guy Guarantees
March 01, 2017
Good Guy Guarantees are designed to ensure that defaulting commercial tenants leave the premises promptly, avoiding loss of rental income to landlords. However, in <i>Bri Jen Realty Corp. v. Altman</i>, the Second Department construed a Good Guy Guarantee to hold a guarantor liable for rent for 11 months after tenant surrendered the premises.