What is the term of a typical lease?
5 -10 years
How is the rent quoted?
What is the tenant's option for termination or break?
Typically, the tenant does not have the right to terminate the lease.
Does the tenant have the option to renew? What is the length of the typical option?
Typically, 5 years
How is the rent determined at renewal?
Fair market rent
What is the typical rent-free period, if any?
In active market, no rent-free period provided. During slower market, 1-3 months.
What is the typical rent escalation?
Over a 10-year lease term, a one-time escalation of 10% in years 6.
Does the tenant have the right to sublet?
Sublets require the landlord’s written approval.