How should I evaluate requests for exclusive use provisions?
Category:
Commercial Leasing – Property Owners
Exclusive use provisions may strengthen a tenant’s commitment while protecting their competitive position within the property. At the same time, they may limit future leasing flexibility by restricting the types of businesses that can occupy neighboring space.
Owners should carefully evaluate whether the long-term benefits of securing the tenant outweigh the potential limitations placed upon future leasing opportunities.
Every exclusive use provision affects more than one lease.