The Commercial Eviction Process for the Landlord
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A landlord should know the basics about commercial eviction before attempting to evict a commercial tenant. If you are getting into a conflict with your commercial tenant, you should speak to an attorney for advice. Mistakes in misunderstanding the commercial eviction process can be costly. To avoid making mistakes, read your lease provisions, and find out what you can and cannot do. Also check your local and state laws. Landlord tenant laws and eviction processes vary from state to state.
Eviction can be expensive for both parties. The tenant has to pay for moving costs and setting up their business all over again. The disruption of business and a new location can be devastating to some businesses. The landlord has to pay for hiring an attorney, eviction costs, making repairs to get the space ready again, advertising, a broker’s commission to find a new tenant and experiences loss of rental income while the space remains vacant.
Most commercial leases have a notice provision regarding evictions that must be followed exactly by the landlord. Typically, the landlord is required to give at least a 3 day notice and may be required to give a 5-10 notice to their tenant if they are in violation of their lease. The time period is very important so make sure you check your lease notice provisions and your state laws. You should also determine the following
- The reason for the eviction
- The amount of any unpaid rent
- Any damages to your property
If you don’t include the required information and follow the notice requirements, your eviction will not be legal. You will not be able to obtain a judgment against your tenant, and you will have to start the process over again. Wasting both your time and your money.
Settle with Your Tenant
If you and your tenant can work out a settlement, it may be better for both you. However, it will depend on the following factors:
- What kind of relationship you have with your tenant
- Whether they pay their rent on time
- Nature of the violation creating the eviction
- How easy can you rent the space to another tenant
- The rental market conditions and the economy
If you cannot work out a settlement and eviction is the only answer, then act quickly so you can find another tenant to lease the space. Some landlords handle evictions on their own, while others hire an attorney to do it for them. Evictions can be complicated so it is recommended that you hire an attorney to help you.
Attorney Can Help
A commercial real estate attorney is an expert in commercial landlord/tenant law and evictions. The attorney can help you with the entire eviction process including preparing the notice and representing you in court.