Due diligence applies in commercial leasing, too

By Jeff Geoghan

Summary: In a commercial leases due diligence and disclosure provisions are frequently overlooked, if brought up at all. Solve this problem by asking for a commercial property disclosure and make sure experts do the inspections, etc during a due diligence or "free look" period.

Key Quotes:

There is a commercial property disclosure form available, but it is rarely used for lease situations. Often the owners of large commercial buildings avoid completing the form due to its level of detail and because they -simply don’t know — it’s not like they lived there, as in a residential situation.

Keep in mind that most commercial leases require the tenant to pay for the cost of maintenance and repair of the property unless otherwise stipulated — so why wouldn’t a tenant want know as much as possible about the property before entering into a long-term lease?

Read the full article at Due diligence applies in commercial leasing, too.

A. Joseph Marshall
Coldwell Banker Commercial
Commercial Real Estate Advisor
Savannah, Ga