Statistics show that more than 90% of all real estate transactions involve one or more brokers. This, of course, excludes Do-It-Yourself apartment leasing, mini-storage rentals and small commercial leases. But, for major transactions, you will want a broker’s help. Brokers know the market, are familiar...
Lease Audit is a broad topic that means different things to different people. In most cases Lease Audit is associated with auditing Operating Expenses ("OE"). OE reconcilliations are an annual ritual in which the Tenant scrutinizes the Landlord's numbers for variable and reimbursable expenses. This...
Auditing Operating Expenses (O.E.) is like going to the Dentist without Novocaine. That's because the audit process is typically arduous, confusing, convoluted and time consuming. On the other hand, done successfully, an audit can uncover mistakes & errors, over-billing, duplicate invoicing, non-allowable charges, etc., etc....
In the world of commercial real estate, references are often made to market deals. Cocktail talk and casual conversation are when tenants like to tell-all about recent deals they've done. Generally, few specifics are volunteered. Somewhere in the conversation though it comes out -"I got...
As if Tenants didn't have enough things to worry about, soon they will have a new accounting regulation with which to comply. This is known as Capital Lease Accounting. This regulation will not affect leases per se, but it will mean that Tenants will need...
Most commercial real estate lease transactions include some construction modification to the space ("Premises"). The improvements can be as simple as paint and carpet, or more complex with demolition and new construction. Negotiating the Tenant Improvements ("TI's") often is the most crucial part of the...
Tenants today tend to be well informed. They read journals, market reports and newspaper articles. Though they may only be in the lease market every few years, they know what's going on most all the time. They know many commercial real estate markets across the...
When we hear the term competitive bidding most of us think about auctions. Whether it's a silent or live auction at a charity event, or perhaps eBay, we have a pretty good idea how it works. Simply, it is the act of soliciting or making...
Touring a sausage factory is the only time knowledge is dangerous. If you actually see how sausage is made, you likely won't be inclined to eat it again. Other than that, knowledge is tremendously powerful. Knowledge is the primary goal of negotiation strategy; and for...
Restoration - we're not talking 'that old house' restoration. Rather, we are talking about Restoration as a legal term used in leases. It is an often overlooked requirement buried deep in commercial and industrial leases. Restoration goes along with the concept of "ordinary wear and...