It is very common for a tenant to look at a potential space to lease while that potential space has an existing tenant. When looking for leased space, potential tenants should have a clear understanding from the landlord of when the existing tenant’s lease is up and when that tenant will vacate the space.
If the existing tenant is leaving the potential space prior to the end of its lease, the new tenant will want to ensure that the landlord has entered into an agreement with the existing tenant for early termination and vacation of the space so the new tenant has no delays in signing a lease or moving in due to delays by the outgoing tenant. In most commercial leases, landlords affirmatively warrant and represent that they have the right to lease the space, meaning that the space is not subject to anyone else’s rights to occupy the space. A new tenant may want to consider asking for more assurance from landlord about when a prior tenant’s lease will terminate and the space vacated. This can be accomplished by adding language to the new lease regarding a prior tenant.
If you have questions about leasing a new space or negotiating a lease, the attorneys at Thomas Law Group can assist.