Debt Negotiation Advice
Need advice on rent being raised on lease-to-own property!!!!?
I only know the barest of facts, but it smells fishy to me. My family's business is part of a shopping center strip and we are the anchor store. About a year ago, it switched property management groups. This week, we were told that our rent would rise substancially to cover an outstanding debt that the previous property owner passed on to the current company. Shouldn't that debt have been part of negotiations when this company bought out the last, and how can they make us pay for their mistake?
Public Comments
- It doesn't sound right that they're increasing the rent on you for their debt problem. However, you're only protected by any regulations on rent increases. Depends on where you are, you want to find out the maximum increase they can impose. Also, since you own the anchor store, you have some clout to negotiate a better term for yourself or move the store.
- Unfortunately this often happens. A commercial property is acquired by another company and the lease goes up. Usually it results in a business moving elsewhere once their lease is up. I do not believe they can raise the rent until your current lease is up. I would consult a business attorney.
