Some lease intelligence every tenant needs to know

Published: Tue, 04/08/14

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Lease Intelligence

Tenants Beware -- You Have Property Management Responsibilities!

Most commercial tenants think of property management and say "thank goodness the landlord takes care of that!"  That is largely true but to think it is entirely so is to put your financial bottom line into the hands of at best a well-intentioned stranger and at worst a totally indifferent one.  While it may be true that the tenant in a large class A office tower does not have to perform janitorial services or maintain the building's heating and air conditioning systems, they do assume some repair responsibilities inside of their premises and have important administrative duties relating to property management.

Think about it: for every bill you receive, whose responsibility is it to review it for accuracy and actually cut the check?  There is not a lot of review required when you get a utility or cable TV bill at home, but what about that operating expense reconciliation bill you get from the landlord once a year?  Does it accurately reflect the terms of the lease; in particular, the special operating expense lease provisions your real estate broker negotiated on your behalf?

80% of property management is shouldered by the landlord, but 20% is the tenant looking out for their own interests.  My clients love that I do this for them throughout their lease term.


Do you have your own lease challenges that you would like to discuss?  Feel free to call me directly or send me an email.

Aaron Weiner, CCIM, CPM, LEED AP | aaron@bailesre.com | Direct: (310) 445-4303