COURSE DESCRIPTION
Subleases are by their very nature filled with substantial risk. A sub-tenant agrees to take space – office, retail, or industrial – from a sub-landlord, pay the sub-landlord rent, and perform certain services. But without between the sub-tenant and the senior landlord, the sub-tenant has no rights to assert against the senior landlord even though the sub-tenant’s use of the space may depend on the actions of the senior landlord. This sub-tenant is also at substantial risk of losing the space if either the senior or sub-landlord goes bankrupt. The relationship of these parties is highly complex. This program will provide you with a practical guide protecting subtenants in leasing.
- Counseling sub-tenant clients about the range of risks in subleases
- How to read master leases to spot red flags for tenants
- Types of subleases – what works for bigger/smaller clients and spaces?
- Identifying master lease’s control of subleasing and sublease terms
- Master lease money provisions, use restrictions, attornment provisions, and termination
- Determining whether sublease risks outweigh the benefits
Speaker:
Anthony Licata is a partner in the Chicago office of Taft Stettinius & Hollister LLP, where he formerly chaired the firm’s real estate practice. He has an extensive practice focusing on major commercial real estate transactions, including finance, development, leasing, and land use. He formerly served as an adjunct professor at the Kellogg Graduate School of Management at Northwestern University and at the Illinois Institute of Technology. Mr. Licata received his B.S., summa cum laude, from MacMurray College and his J.D., cum laude, from Harvard Law School.