Commercial Real Estate Leases: Selected Issues in Drafting and Negotiating in a Distressed and Troubled Market
Free PodCast
Listen to "Course Overview; Letters of Intent" from the program Commercial Real Estate Leases: Selected Issues in Drafting and Negotiating in Current Markets originally presented May 29-30, 2008
What You Will Learn
In today’s troubled real estate market, you must take the distressed market into account when negotiating commercial real estate leases, assignments, and subleases. And you must know how to deal with a tidal wave of defaults and bankruptcies.
This annual advanced course of study, comprising 13 hours of instruction, provides instruction on the key issues involved in negotiating office leases, retail leases, ground leases, assignments, and subleases in this complicated and problematic market. It also provides guidance on handling defaults, on insurance issues, on green leases, and on use of subordination, non-disturbance, and attornment agreements. In this market it is absolutely vital to be fully versed in the myriad of issues you will face, and this long-running, highly praised course from ALI-ABA — updated and renewed very year — is more timely than ever.
The course emphasizes drafting and negotiating skills. The viewpoints of the landlord, tenant, and lender are represented during the panel discussions.
Trends and developments analyzed include:
Working out "distressed" leases
Economic terms
Common area maintenance charges and pass-throughs
Assignment and subletting clauses
Insurance
Office leasing
Retail leasing
Green leases
Subordination, non-disturbance, and attornment agreements
Work letters and construction
Defaults and bankruptcy and
A full hour of ethics and professional responsibility.
Time is reserved throughout the program to address written questions submitted by the registrants.
Planning Chairs
Richard R. Goldberg, Ballard Spahr Andrews & Ingersoll, LLP, Philadelphia
Mark J. Levick, Levick & Botein, New York
Mark A. Senn, Senn Visciano P.C., Denver
Faculty
Peter Aitelli, Morrison & Foerster LLP, San Francisco
Nancy Ann Connery, Schoeman, Updike & Kaufman, LLP, New York
Mark S. Hennigh, Greene Radovsky Maloney Share & Hennigh LLP, San Francisco
John S. Hollyfield, Fulbright & Jaworski LLP, Houston
Jo-Ann M. Marzullo, Posternak Blankstein & Lund LLP, Boston
Kathryn Cochrane Murphy, Krokidas & Bluestein LLP, Boston
David L. Pollack, Ballard Spahr Andrews & Ingersoll, LLP, Philadelphia
Julian P. Rackow, Blank Rome LLP, Philadelphia
Theodore I. Yi, DLA Piper US LLP, Chicago
Program Schedule
THURSDAY, MAY 28, 2009
8:00 a.m. Registration and Networking Session
Webcast Segment A
9:00 a.m. Introductory Remarks and Course Overview - Messrs. Goldberg, Levick, and Senn
9:15 a.m. Letters of Intent - Mr. Senn
- Making your client's intentions clear
- Negotiation strategies
- What must be included?
- What may be omitted?
- How binding is the LOI?
9:30 a.m. Office Leasing - Ms. Connery and Messrs. Aitelli, Hollyfield, Molotsky, and Yi
- Methods of escalation, expense recovery and "pass-throughs"
- Building services
- Gross-ups
- Office space measurement
- Mixed use projects
- Options and expansion space
- Telecommunications
- Building services
- Recourse
- Convenience cancellations
- Letters of credit
- Security deposits and guaranties
- Effective negotiation techniques when representing the "underdog"
10:45 a.m. Networking Break
11:00 a.m. Office Leasing (continued)
12:15 p.m. Questions and Answers
12:30 p.m. Dutch Treat Luncheon with Faculty and Registrants and Networking Break
Webcast Segment B
1:45 p.m. Retail Leasing - Ms. Marzullo and Messrs. Goldberg, Hennigh, Levick, Rackow, and Senn
- What can the tenant expect to receive?
- Co-tenancies
- Exclusives
- "Front door" control
- CAM caps and locks
- Street leasing
- Life style center
- Supermarket leases
3:15 p.m. Networking Break
3:30 p.m. Retail Leasing (continued)
4:15 p.m. Assignments and Subleases - Ms. Connery and Messrs. Rackow and Senn
- Maintaining control and limiting liability
- Addressing complications in the sublease
- Differences among retail, office, and industrial leases
5:00 p.m. Questions and Answers
5:15 p.m. Adjournment for the Day
FRIDAY, MAY 29, 2009
8:00 a.m. Networking Session
Webcast Segment C
8:30 a.m. Ground Leases - Ms. Murphy and Messrs. Goldberg and Levick
- The differences between space leases and ground leases
- Financeable ground leases
9:30 a.m. Defaults and Landlord-Tenant Litigation - Ms. Connery and Mr. Pollack
- Workout scenarios
- Handling guarantors
10:00 a.m. Bankruptcy - Mr. Pollack
- Tenant's bankruptcy
- Landlord's bankruptcy and special problems of subtenants
- Defensive tactics before the bankruptcy
11:00 a.m. Networking Break
11:15 a.m. Insurance: An Attorney's Primer - Mr. Goldberg
11:45 a.m. Leasing in Troubled Times - Messrs. Goldberg, Levick, Hennigh, and Senn
- Declining rents and occupancy
- Changing financial markets
- Using (and losing) options
- Restructuring
12:15 p.m. Questions and Answers
12:30 p.m. Dutch Treat Luncheon with Faculty and Registrants and Networking Break
Webcast Segment D
1:45 p.m. Green Leases - Messrs. Aitelli, Senn, and Yi
- What they are
- How leases are affected
- Tenant's costs and operational concerns
2:30 p.m. Lenders and Leases - Messrs. Aitelli, Hollyfield, and Molotsky
- Lenders' and owners' views of estoppels
- Lenders' and owners' views of subordination, non-disturbance, and attornment agreements
3:15 p.m. Networking Break
3:30 p.m. Ethics and Professional Responsibility - Faculty Panel
4:30 p.m. Questions and Answers
4:45 p.m. Adjournment
Total 60-minute hours of instruction: Total 60-minue of instruction: 13, including one hour of ethics
Suggested Prerequisite: Limited experience in legal practice in subject matter or completion of Basic CLE Course in subject matter
Educational Objective: Acquisition of knowledge and skills to develop proficiency as a practitioner; maintenance of professional competence as a practitioner; provision of information on recent legal developments
Level of Instruction: Advanced
