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Pros and cons of preleasing undeveloped commercial property

from By Dale Willerton and Jeff Grandfield

As either a new or existing commercial tenant, you may be tempted to prelease undeveloped property. This is potentially the most unpredictable lease agreement into which a tenant can enter. Why? The answer is simply because you can't visually assess the property or physically touch the bricks and mortar. Often in these types of deals, the tenant is required to make a long-term leasing decision and commitment based only on the landlord's design drawings. more

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