The Most Unusual Tenant Request I’ve Ever Seen | Episode 58: I Own a Shopping Center, Now What?
Description
After 30+ years in the business, it takes a lot to surprise me—but this lease clause did just that. In this episode, I share the unique situation that forced me to rethink how I approach use clauses. A tenant with a one-of-a-kind concept insisted on “any lawful retail use” as a condition of the lease. My initial reaction? No way. But what followed was a negotiation that pushed both sides to get creative.
I walk through the four protections I added—including noxious use exclusions, existing tenant conflict language, and even a recapture clause—all while preserving the deal and protecting my asset. If you’ve ever dealt with an assignment clause that felt like a landmine, or a tenant who had no potential assignee, this episode will give you a new playbook.
Key Insights:
✔️ Narrow use clauses protect your center—but sometimes, compromise is required
✔️ “Any lawful use” isn’t always risky—if structured carefully
✔️ Noxious use exclusions help future-proof your lease against shifting laws
✔️ Active negotiations and LOIs should also block conflicting assignments
✔️ A recapture clause gives landlords control in grey areas
✔️ Early negotiation (at LOI stage) helps avoid legal standoffs later
United States
