Posted by James - Michigan Investor on May 07, 2010 at 11:58:48:
Take what you can from them. They are liable for the entire lease…however, don’t expect to get anything when you get a judgement from them.
If they are going to lose the business anyway, get what you can and minimize the damage done/lose money. Tell them as long as their business closes up and everything is in the same order when they left, you won’t press charges. (you’ll let your atty do that)
Blood from a rock situation here…that and they’re not good tenants.
business wants to break lease - Posted by bill
Posted by bill on May 07, 2010 at 08:57:10:
I have a tenant in an small office building that wants to break their lease and leave 2 years into a 4 year lease. They have been HORRIBLE tenants, complaints, late rent every month, hired criminals to work there etc. etc… While everyone in the neighborhood will be glad they are leaving, I will be stuck with an empty unit and not sure how to fill it. I bought this 2 unit office with tenants in place and have never looked for a business tenant, not to mention the state of renting office space in the economy. They have said they would be willing to make some offer to break the lease, hinting at maybe just a couple months rent but nothing formal yet. They also hinted at filing bankruptcy if they cant get the business in order. What should I be looking for here? They are going to leave anyway, should I be happy with a couple months rent or should I be asking for more? If I ask for too much and they file bankruptcy will I get nothing? Their unit needs some much needed updating which I was hoping to save enough money in the next 2 years to do, but I dont really have it now.