anamorphosis
Junior Member
Massachusetts Foreclosure on commercial property: do commercial tenants' leases live through the foreclosure?
I am interested in buying a commercial property soon-to-be up for foreclosure. I'm trying to prepare my bid currently. The bid depends vastly on whether leases live on through foreclosure.
There's one lease in particular that is so favorable to the tenant, extending the next 10 years without any cost-of-living adjustments, adjustments for inflation.
I would be happy to have the tenant stay there. My understanding is possibly the attendant becomes a tenant at will at foreclosure. In that case rent could be adjusted gradually over the years via cost-of-living type arrangements.
I don't want to affect the two tenants that are there but I want to have some assurance that their rents will go up appropriately if inflation rears its ugly head in the next few years.
I am interested in buying a commercial property soon-to-be up for foreclosure. I'm trying to prepare my bid currently. The bid depends vastly on whether leases live on through foreclosure.
There's one lease in particular that is so favorable to the tenant, extending the next 10 years without any cost-of-living adjustments, adjustments for inflation.
I would be happy to have the tenant stay there. My understanding is possibly the attendant becomes a tenant at will at foreclosure. In that case rent could be adjusted gradually over the years via cost-of-living type arrangements.
I don't want to affect the two tenants that are there but I want to have some assurance that their rents will go up appropriately if inflation rears its ugly head in the next few years.
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