Terminating Tenancy - Three Lease-Break Clauses That Allow For Redevelopment

What was new and exciting 40 years ago is now in need of rejuvenation. Old office towers, tired shopping centres, rundown industrial parks — all are potential redevelopment opportunities for building owners. And if a current owner is not prepared to make the effort and take on the risks associated with redevelopment, then there is often a developer that is.

THE BASIC PREMISE

A building owner who is also a landlord wants to maintain a consistent income from its property and, at the same time, have the flexibility to terminate leases and/or relocate tenants when the time is right for redevelopment. Tenants, on the other hand, want to be dealt with fairly by a landlord that is contemplating redevelopment. Sometimes arriving at a suitable middle ground can be a struggle.