Four Key Points That Must Be Negotiated in a Master Lease

When negotiating the terms of a master lease, use the negotiating techniques, tactics, and strategies that I outline in Chapter 13, and pay special attention to the following four key points:

1. Monthly rental rate: Negotiate a flat monthly rental rate for the entire term of the lease.

2. The term of the lease: Negotiate a long-term (two- to five-year) lease.

3. The right to sublet the premises: Negotiate the right to sublease the premises to a third party.

4. The right to assign the lease: Negotiate an assignment clause in the lease, which allows you to sell the master lease to a third party.

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