Assignment Is a Business Term: Negotiating Transfer Rights in the LOI

In commercial leasing, the letter of intent typically addresses business points such as rent, term, and tenant improvement allowances, but often says little or nothing about a tenant’s right to assign or transfer the lease, even where the landlord intends for tenant to have no such rights. Both sides tend to treat lease assignment provisions as a legal issue to sort out later. It is not. Transfer rights directly impact credit, control, and long-term risk allocation, which are issues just as... By: Lowndes