The Letter of Intent: Why the Terms You Negotiate Before the Contract Matter

In many commercial real estate transactions, the first written agreement between a buyer and seller is not the purchase and sale agreement. It is a letter of intent, commonly referred to as an LOI. An LOI is often only a few pages long and is generally intended to be non-binding, with the exception of certain...

When purchasing a commercial property with existing tenants, buyers often begin and end their due diligence with the rent roll. It shows the current rent, lease terms, and security deposits used to evaluate the property’s income. That information is important, but it does not show every obligation the buyer may assume at closing. By acquiring...