ABOUT THIS COURSE
It has possibly taken close to, or perhaps more than 26 weeks to get to the position of negotiating Heads of Agreement for a substantive property by undertaking many of the processes and following the stages in the Property Acquisition Plan. Every situation is different, and it could take 1 weeks to 52 weeks.
Between the stages where the decision maker underwent extensive consulting exercises and built a strong accommodation brief with their Tenant Rep, they also took part in cost comparison benchmarking, and met with their existing landlord to refresh them with the make good obligations and what would be on offer should they renegotiate a new lease. The client organization would have leant on their Tenant Rep to facilitate this process.
Tenant Rep would have undertaken the negotiations on preferred option and secondary options by this stage, but the decision maker and their legal counsel would have been ready to commit effort to achieving the commercial terms, lease flexibility and other lease obligations directly after negotiations. As the Tenant Rep and their client organization were undertaking negotiations on preferred options and secondary options, landlords were providing the client organization (their potential tenant) with the lease, which contains terms relating to the rent, the term of the lease, permitted use of the premises, any bank guarantee or security deposit required., maintenance requirements and make good and termination provisions.
After the excitement of the initial search, lease negotiations move into the commitment phase, Heads of Agreements – or Letters of Intent – or Memoranda of Understanding. Once the client organization makes their final decision on which option they want to choose and have agreed on all terms, the next step is to execute the final Heads of Agreement and provide a leasing deposit along with any other documentation required by the Landlord.
In this course, you will gain an understanding of what happens once a Heads of Agreement is signed, the lawyers are instructed, and the draft Lease is issued to the Tenant. You will explore what documents that a Tenant might see that may accompany the draft Lease and discuss what happens if either of the parties agree or don’t agree to finalize the draft Lease.
TOPICS COVERED IN THIS COURSE
- Moving into the Commitment Phase - Agreement for Lease
- Moving into the Commitment Phase - Heads of Agreement (HoA)
- Types of Draft Lease Documents
- What Terms Should You Negotiate?
- Requesting a Heads of Agreement
COURSE DURATION
Approximately 20 Minutes
