Written respose to tenant lease break request?

[Patrick Purviance]

Hey there fellow BPers!

Got a question about the best way to manage a lease break request.  I've read countless posts on the topic of ways to financially address the lease break details based on the lease agreement and state laws, but not much about the best way to communicate it.

My situation:  Just closed on the duplex 2 weeks ago.  One side rented, the other vacant.  While working on sprucing up the vacant side to hopefully increase rent a bit, I get a call from the tenant on the other side citing issues from the previous landlord (though he never threatened to break lease on them for any of it) and family reasons to move out.  That unit needs more work than the vacant side, his lease runs out in 5 months, and he'd indicated before that he's not renewing. The inherited lease agreement doesn't address lease break or lease buyout. My lease agreements do, and I told the tenant that though I had to have it reviewed by our RE attorney, there was nothing in the contract he had, so it would be up to our group on how to deal with it.

My plan is to offer him the break with a couple options: 

1) Pay 2 months rent as a break fee and upon final walkthrough, if nothing needed to come out of the deposit he'd get the deposit back. 

2) Pay 1 months rent and relinquish the deposit as a break fee.

Ran it by my RE attorney and he's good with our approach, but the question for you all:

Should I do this in person, over the phone, by text, or should I put it in writing?

Thanks in advance!

[Account Closed]

Hi @Patrick Purviance I would recommend having the initial conversation over the phone and if they agree to the terms, draft a quick addendum outlining the agreement and have them sign it, either in person or via email. 

Keep in mind, if the active lease doesn't outline those fees and you re-rent the unit in less than 2 months, you are responsible for refunding the balance to the tenant. State law only allows you to collect "lost rent," you can't double dip. You may want to have your attorney review that language going forward as well. Your lease agreement may not match state law. 

I hope it workds out!