Florida Attorneys for Commercial Landlord Rights & Responsibilities
Assisting Landlords with Eviction & Other Important Matters
Commercial leases are almost always entered into with a corporation or other legal entity as the tenant. If the tenant's business is unsuccessful or the tenant breaches the lease, often times the landlord is left without adequate protections to recover some or all of the rent due. Commercial landlords should consider some of the ways to protect some or all of the rental obligation of the tenant.
Some means of protection for commercial landlords can include the following:
- Security Deposits
- Letters of Credit
- Personal Guarantees
- Security interests in the assets of the tenant
There are pros and cons to each of these options that are worth examining in detail below. A lawyer for commercial landlord rights and responsibilities from Florida at Rosenthal Law Group can also help you navigate this complex web of obligations and rights.
The simplest way for a landlord to secure a tenant's obligations under a lease is to collect a cash security deposit. A security deposit is usually the amount of one- or two-months’ rent, usually must be paid at the signing of the lease. In evaluating the proper amount of a security deposit, however, landlords should analyze the assets of the tenant against the obligations under the lease, the landlord's costs, and the likely amount of time to re-let the premises.
Florida does not have a statute governing the treatment of non-residential security deposits, which means the lease ultimately governs what happens to a security deposit. There are pros and cons to requiring a security deposit on a lease of your commercial property that should also be considered.