Landlords and Tenants: Creativity During COVID-19
As we approach the first of a new month, we know some tenants and landlords, of commercial and residential property, will be forced to have difficult conversations about lease agreements and lost revenues.
We received the article below from Chamber member James Milner, CCIM, with Appalachian Commercial Real Estate, which was published by the CCIM institute titled: Guidance for Rent Relief Requests and other Commercial Real Estate Tenant/Landlord Issues. It provides a list of suggestions and documentation for both parties to consider should they discuss alternate lease arrangements.
The Boone Area Chamber of Commerce encourages landlords and tenants of commercial and residential properties to be as creative as possible when dealing with the fluid situations presented during the COVID-19 crisis.
Rising unemployment and social distancing restrictions are hampering both businesses and individuals as they work to make financial ends meet. Some real estate corporations and individual property owners have enough flexibility in their operations that a short-term compromise may be facilitated. Others may be faced with decreased rent revenues to a point that necessitates agreed upon lease terms must be met.
We suggest both landlords and tenants read the terms of their lease agreements, and we encourage dialogue to occur sooner than later to help resolve issues that are fair and reasonable to both parties.