Thirty-days ago, legal concepts and words like forbearance, rent deferral, and force majeure, were just words on a contract. These words rarely took any action on our daily life. Today we are becoming schooled in what they really mean, how they are used, and more importantly how they affect the business of both Tenants and Landlords.

Today’s goal is to minimize financial losses and weather the storm. Please consider LBR a trusted advisor in this quickly changing world of Commercial Real Estate and remember, we are all in this together.

Tenants requiring rent deferral:

• -Don’t just send a letter saying you can’t pay rent, propose a plan.
• -Be prepared for the Landlord to ask for financials to prove hardship.
• -Ask early, your landlord is most likely to help the first to ask, not the tenth.
• -Convey confidence, you’ve done your research on what it takes to thrive in the future.
• -Speak to your Banking and CPA relationships often, CARES and other programs are evolving daily

Landlords dealing with loss of cash flow:

• -Determine your basis to survive, profit may not be an option for the next 30-90 days.
• -If forbearance is required from the bank, negotiate what happens on the last day of forbearance.
• -Any rent is better than no rent when negotiating with current tenants.
• -No handshake deals with Tenants, everything must be documented in a lease amendment.
• -Ask your Attorney to draft all documents, Attorneys’ fees today will save significant dollars in the future. When finances are tight, ask your Attorney to price a document.
• -Speak to your banking and CPA relationships often, CARES and other programs are evolving daily.

Lightle Beckner Robison, Inc. is a full-service real estate firm. Specializing in office, retail, industrial, investment properties and asset property management. LBR, Inc. serves Brevard county and extending across the entire States of Florida and Georgia. For additional information, visit their website at www.TeamLBR.com