If you are thinking about subleasing your commercial property, you need to make sure that what you are considering is legal first. A sublease can be beneficial for a tenant, a sublessor, and even the landlord of a property, but not all lease agreements allow tenants to lease out their space to someone else. You may want to meet with our Long Island, NY real estate litigation lawyers before making any agreements.
Why Would I Consider Subleasing?
Subleasing can actually offer a few benefits to everyone involved in the deal. If you are leasing out a space, you could get money towards your rent by renting out any space that you are not currently in need of. For example, you leased out office space, but many of your employees are still working remotely. You can lease that space you are not using to someone else.
If you are the sublessor, you can benefit from the amenities already offered by a space and save on certain costs, like common area maintenance and utilities. It can also sometimes be easier to qualify for a sublease and terms might be more flexible.
Do I Need My Landlord’s Permission Before Subleasing?
Yes, you have to talk to your landlord before you decide to sublease a space to someone else. If your contract allows you to sublease, your landlord still gets to approve and review who you want to take on as a tenant. They can be permissive or restrictive about what kind of sublessor you choose. A landlord can also charge you fees after they run background checks and perform other due diligence concerning your sublessor.
Are There Some Legal Risks Involved With a Sublease?
Choosing to sublet can open you up to some risks. If you are the tenant, you have to worry that:
- A sublessor does not pay rent on time, leaving you on the hook for it
- A sublessor causes damage to the property
- Your landlord evicts the sublessor, causing you legal and financial headaches
Should I Hire a Lawyer Before Subleasing?
Because there could be legal risks to you and your assets, it’s wise to make sure that you have done your due diligence before signing any kind of agreement. Running afoul of your original lease terms or signing the wrong kind of person to be your sublessor can cause you problems. A lawyer can help you avoid taking any actions that would put you in breach of contact and show you the best way to take advantage of a subleasing agreement.
Contact Our Law Firm Today
So if you are unsure about whether you can sublease the commercial property that you are renting, contact David A. Gallo & Associates, LLP. We can help you evaluate your current lease agreement to see if this is an option for you. If you do end up subleasing, we can also help you draw up any contracts needed between you and the sublessor.
