Rent the Right Way: Medical offices require unique leases

Good legal counsel may be able to protect medical tenants in other ways. The lease can be amended, for example, to require the landlord to competitively bid certain expenses such as security, maintenance and janitorial services, as well as to appeal tax assessments.

Operating and maintaining the premises efficiently while minimizing expenses enables the landlord to pass savings on to the tenants.

Furthermore, the lease can be negotiated to include a maximum limit for a tenant’s share of the operating expenses. This essentially caps the amount of fees you are required to pay, regardless of whether the landlord’s operating costs increase or decrease.

Defaults and the Right to Cure

While you may think you will never default on your lease, don’t ignore the default provisions. Remember, defaults may not necessarily be the result of bad faith or bad action. A non-monetary default may include failing to maintain the premises or violating a zoning restriction, something you may not even be aware of. The lease, therefore, should require the landlord to provide written notice of default and allow the tenant a minimum of 30 days to correct or cure any such default.

Most importantly, a savvy tenant should seek the guidance of experienced legal counsel to advise and negotiate the lease to meet the client’s professional needs and insure the continued health of the medical practice. ENT TODAY

Steven M. Harris, Esq., is a nationally recognized health care attorney and a member of the law firm McDonald Hopkins, LLC. He may be reached at sharris@mcdonaldhopkins.com.