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Especially for a retail lease, tenants should expand the right to exercise a renewal option beyond only the named tenant, to any parent, affiliate, subsidiary, permitted assignee or subtenant of the named tenant.
When a tenant moves to another building, a landlord not only losses the revenue stream, but also incurs costs in finding a new tenant in the form of paying: (a) a full brokerage commission; (b) tenant improvement allowances, landlord demolition and space build-out costs; and (c) free rent concessions.