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Permitted Uses: Flexibility and Adaptability
When negotiating permitted-use clauses under retail leases, landlords attempt to achieve the most comprehensive limitations possible so as to avoid conflicts with other tenants' leases and violations of exclusive-use clauses that are maintained by other tenants in the retail facility.
Tenants, however, should be very careful to incorporate a certain degree of flexibility and adaptability into their leases' permitted-use clauses to take into account an evolving landscape for retail products, changes in technology, modifications in a company's retail focus and strategy, and constantly changing retail environments within various retail facilities.
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