Leasing Tip

Sometimes tenants are concerned with outgrowing their space before the lease expires. Usually the solution is to sublet or assign the lease. However, you may want to try to negotiate the right to terminate your lease early. There are costs associated with the right to terminate early. If the owner provided you substantial amounts of improvements, you should expect to repay the unamortized portion of that fee and any other costs of leasing. While early termination penalties can be expensive, for some tenants this is preferable to the potential liabilities of being a sublessor.