Tenant Breaking A Lease After Staying 6 Months

[latitude 0]

Hi everyone

If yr tenant (corp lease) signed a 24 month lease (w/12 month diplomatic clause + 2 months notice) with u and want to break lease after 6 months, do landlords get compensated? Tenant says his company is sending him back to his home country to work.

I think the minimum is we forfiet the 2 months deposit and they have to pay back the commission for the unexpired term of the lease?

I dun have agent to assist me as I did it on my own. But the tenant side they have a agent. Must I engage a lawyer to do this?

[pinkpetter 0]

... No need lawyer ba. What are the terms in your lease? It should be stated inside.

When we ended our lease prematurely we forfeited the deposit only.

[yoongf 11]

12 mth diplomatic clause means minimum 12 month rental. Dun care if the existing homo sapien leave after 6 months, the legal entity who is the tenant can put another homo sapien there for the minimum period of 12 months.

That is the beauty of Corp Lease... u go after the legal entity and not the person.

Eh... when u plan your rental investments.. normally u budget to clean up the place no less than 1 in 2 yrs. Imagine.. after 6 months.. u have to repaint the place, pay agent comm again.

And.. if new found tenant pay u 30% less rental than previous tenant.. u.. big time lugi leh.. Dunno lah.. different ppl got different expectations.

For me.. from a negociation starting point.. I will insist minimum occupation period at existing rental. I wld not mind if that agent find another tenant, but on a no loss basis. Ie.. no pay of agent comm, and no drop in rental.

However.. also need to check.. if the company.. whether they are judgement proof. If no assets.. no point making a fuss.

[latitude 0]

thank you for all the replies..

the issue has finally been settled. the 1st tenant found 2nd tenant to rent and 1st tenant will pay agent comm + shortfall in rental. happy ending for all