Ep. 199 Eric Odum: Covid-19 Impact on Commercial Real Estate Landlords and Tenants

With the arrival of the Covid-19 pandemic, the last several weeks have taken an unfortunate turn, and this has affected the commercial real estate world as well. For commercial landlords and investors, there are some very real issue you are facing as more and more tenants start facing financial hardships due to their businesses being closed.   As a commercial landlord, you need to be prepared to respond when tenants start coming to you with needing financial relief and/or rent reduction. There are programs that can help your tenants (we discuss a few programs on this podcast). You also need to be prepared for the possibly of tenants invoking the "Force Majeure" clause (Act of God clause). Just remember that it will benefit you in the long run if you treat your tenants as human and not just as a lease or cash flow stream.   Key Discussion Points [00:58] Opening remarks by Eric Odum [01:56] During this COVID-19 pandemic, landlords should treat people as human and not just as a lease or cash flow stream [05:12] Programs and ways for tenants to get financial help if they are struggling due to the COVID-19 pandemic [06:21] As a landlord, how do you respond when a tenant comes to you needing financial relief or rent reduction [10:00] Be prepared for tenants to invoke the “Force Majeure” clause (Act of God clause) [11:18] Eviction and Abandonment [17:44] Eric's Closing Remarks