Investors in Toledo’s commercial real estate market usually make every effort to identify a good tenant for their space and prepare a detailed lease that protects their rights.
Even so, there is always some risk that things will go sour with their commercial tenant.
Commercial leases frequently are lengthier than residential leases, meaning there is more opportunity for things to go wrong.
Also, in commercial leases, financial stakes are often quite a bit higher than they are with a residential apartment or home.
Some common disputes between landlords and tenants include:
- Disputes over the rent. In some cases, the tenant may simply fall behind in their rent payments, perhaps for financial reasons. In other cases, the landlord and tenant might disagree about how much is owed. On a related point, tenants often agree to pay other fees and charges and may dispute these.
- Disputes about repairs and maintenance. Tenants and landlords may get into disagreements about what repairs and improvements are the landlord’s responsibility and for what repairs a tenant must pay.
- The condition of the property. A tenant may make unauthorized improvements or keep the real estate in poor repair. This may damage the landlord’s property and require the landlord to pursue compensation for their losses.
- The landlord and tenant may disagree about the terms of their lease contract.
- In other cases, either may for any number of reasons need to try to terminate the lease early. For example, the landlord may have a golden opportunity to sell their real estate, or the tenant may need to find a more affordable option.
Investors may want to evaluate their legal options in a commercial dispute
Ohio real estate investors who are facing a possible dispute with their tenant should make sure they understand their legal options.
Often, these options will depend heavily on the circumstances. Likewise, outcomes could depend on the details of Ohio law as well as what the leasing agreement says.
Sometimes, the best, most cost-effective strategy will involve negotiation, mediation or some other type of alternative dispute resolution. In other situations, though, an investor may want to fully pursue their remedies in court.