Top-five tips to divest unneeded corporate real estate (Part 4)

4. Have your paperwork in place.

Draft all transaction paperwork and legal agreements prior to marketing – well before any prospect submits an offer including:

• Corporate approvals of projected sublease or sale
• Lease/sublease rights and obligations
• Termination option analysis
• Expense/CAM pass thru analysis
• Rent schedule
• Sublease recovery analysis
• Upfront costs and fees prior to sublease income and required projected corporate approvals
• Financial security/LOC analysis
• Appropriate Landlord communications
• Environmental evaluations and solutions
• Completed draft sublease and/or purchase and sale agreements
• Book value and projected gain/loss
• ALTA land survey permits
• Floor plans, roof and building condition reports
• Mechanical details
• Review municipal records etc…