Law.com Subscribers SAVE 30%
Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.
Turnkey Build-Outs
A tenant's ability to finance its leasehold improvements is an important negotiated term of a retail lease. Some of the ways the landlord and the tenant address such financing are providing that: 1) the tenant takes the space “as-is” and pays for the build-out through private funds; 2) the tenant obtains an improvement allowance from the landlord and hires the tenant's own contractors to perform the build-out; or 3) the landlord agrees to complete the tenant's entire build-out and amortize the costs thereof into the tenant's rent. In this third arrangement, often referred to as a “turnkey” build-out, the landlord delivers the keys for a completed premises to the tenant when the construction of both the base building and the tenant-specific improvements are complete.
For tenants that lack sophistication and financial resources, a turnkey build-out can be advantageous because the tenant benefits from the landlord's economies of scale with regard to the costs of construction and supplies and the use of an experienced construction and design team to which the tenant may not otherwise have access. National or regional tenants can also benefit from turnkey build-outs, allowing them to focus on multiple projects simultaneously without risking budget busts. A turnkey build-out can also benefit the landlord, as the landlord can control the scheduling of contractors in order to: 1) avoid conflicts with other construction in the building; 2) avoid interference with the quiet enjoyment of other tenants in the building; and 3) mitigate potential delays in the rent start date due to the tenant's delay or inability to obtain permits.
This premium content is locked for Entertainment Law & Finance subscribers only
ENJOY UNLIMITED ACCESS TO THE SINGLE SOURCE OF OBJECTIVE LEGAL ANALYSIS, PRACTICAL INSIGHTS, AND NEWS IN ENTERTAINMENT LAW.
- Stay current on the latest information, rulings, regulations, and trends
- Includes practical, must-have information on copyrights, royalties, AI, and more
- Tap into expert guidance from top entertainment lawyers and experts
Already a have an account? Sign In Now Log In Now
For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473
New York's Latest Cybersecurity Commitment
On Aug. 9, 2023, Gov. Kathy Hochul introduced New York's inaugural comprehensive cybersecurity strategy. In sum, the plan aims to update government networks, bolster county-level digital defenses, and regulate critical infrastructure.
Law Firms are Reducing Redundant Real Estate by Bringing Support Services Back to the Office
A trend analysis of the benefits and challenges of bringing back administrative, word processing and billing services to law offices.
Bit Parts
Summary Judgment Denied Defendant in Declaratory Action by Producer of To Kill a Mockingbird Broadway Play Seeking Amateur Theatrical Rights
How AI Has Affected PR
When we consider how the use of AI affects legal PR and communications, we have to look at it as an industrywide global phenomenon. A recent online conference provided an overview of the latest AI trends in public relations, and specifically, the impact of AI on communications. Here are some of the key points and takeaways from several of the speakers, who provided current best practices, tips, concerns and case studies.