Wednesday July 8, 2020

The coronavirus conundrum for commercial leases

Covid-19 could trigger subleases and assignments of commercial leases

21st June, 2020
The commercial leasing market is still adjusting to the new reality of Covid-19

As the country’s reopening gradually progresses, landlords and tenants in existing leases continue to assess their current relationships. Meanwhile, negotiations for most new leases have been put on hold.

For existing leases, landlords focused on arrears accruing may consider contentious action such as issuing debt collection proceedings, a winding up petition or seek to re-enter the premises. Each action has varying degrees of risk and cost and a less contentious approach may have...

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