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In the Spotlight: Limiting the Impact of Co-Tenancy Requirements

A co-tenancy requirement may have substantial negative effects, including a domino effect if more than one tenant ceases to operate. Most landlords resist giving such rights to a tenant, especially an in-line tenant. However, if an important tenant has sufficient negotiating leverage, a landlord may be forced to roll the dice, agree to a co-tenancy requirement, and hope that the designated co-tenant will continue to operate during the term of the benefited tenant's lease. This article focuses on ways a landlord can limit the impact of co-tenancy requirements.

13 minute read April 26, 2007 at 04:50 PM
By
Sheldon A. Halpern and Xavier Gutierrez
In the Spotlight: Limiting the Impact of Co-Tenancy Requirements

Part One of a Two-Part Series

A co-tenancy requirement may have substantial negative effects, including a domino effect if more than one tenant ceases to operate. Most landlords resist giving such rights to a tenant, especially an in-line tenant.

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