Due Diligence Checklist

When conducting due diligence on the lease, ask the following:

     Copies of leases in landlord’s files?

     Abstracts for all major leases?

     Abstracts adequate?

     All leases subordinate to Mortgage? 

     Does the Bank have a right to receive notice from Tenant of default by Landlord and opportunity to cure default?

     Any leases contain any option or right of first refusal (ROFR)?

     Any disputes with current tenants?

     Is this a “Credit Lease” transaction?