The retail industry is a competitive space, and with online shopping on the rise, brick-and-mortar businesses must work harder than ever to stay relevant. This is where retail leasing lawyers come in – they have expertise in navigating the complex world of commercial leases and can offer valuable insights to both landlords and tenants. To gain a better understanding of how these legal professionals can help retailers, we spoke to some experts in the field who shared their top strategies.
1. Negotiate favorable lease terms: Lease agreements are crucial for businesses as they set out the terms and conditions for occupancy. According to Aaron Radding, Partner at a top real estate law firm, “A good retail leasing lawyer will negotiate favorable lease terms for their clients, taking into consideration factors such as rent escalations, personal guaranties, tenant improvements, maintenance responsibilities and more.” This ensures that retailers are protected from unexpected expenses or surprises during their tenancy.
2. Understand local laws: Different cities and states have varying laws governing commercial leasing lawyers agreements. Therefore it’s essential for both landlords and tenants to work with lawyers who are well-versed in local regulations.“An experienced retail leasing lawyer can guide clients through zoning requirements, buildout restrictions and other important legal considerations specific to their location,” says Michael Guttman, Managing Counsel at a renowned law firm.
3. Mitigate risk: Retailers face numerous risks when signing a lease agreement – from being forced out due to redevelopment plans by landlords or facing litigation due to violations of building codes or ADA requirements.Retail leasing lawyers help mitigate these risks by carefully reviewing all documentation before signing on behalf of their clients.“A thorough review of the lease agreement can reveal hidden clauses that could potentially put retailers at risk,” explains Jenna Kugel-Girgamian Head Partner at another leading law firm.
4. Negotiating rent relief during unforeseen circumstances: In today’s uncertain times where unforeseen circumstances like pandemics may impact a business, having a retail leasing lawyer comes in handy. They can assist tenants in negotiating rent relief or lease amendments to help them through difficult times.
5. Protecting retailers against landlord defaults: Just like tenants can default on their rent payments, sometimes landlords don’t fulfill their end of the bargain. This can be financially devastating for retailers, especially if they have invested significant resources into the space.“A knowledgeable retail leasing lawyer will ensure that lease agreements have provisions for situations where landlords default and outline remedies for tenants,” advises Joseph Rossi, Senior Partner at a prominent real estate law firm.
In conclusion, hiring an experienced retail leasing lawyer is crucial for any retailer looking to succeed in today’s competitive market. These legal professionals offer valuable expertise and guidance that can help businesses navigate the complex world of commercial leases with ease.
