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Updated over 12 years ago on . Most recent reply
Chicken/Egg: Improvements, Pushing tenant out
I am looking at many deals where the condition is very sub-par and the rents are accordingly far below market. I know that I have to do improvements to the units to raise rents to market. At the same time... I have to raise the rents to get them to go so I can do work (if that even makes them go). So it'd a catch 22!
Should I just count on doing work in the units with them there? Are there any tenant protection laws I should know about that might get in the way of me bringing in painters, tilers, carpenters, etc.
Thanks!
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Leases run with the property. If the tenants have existing leases, you MUST honor the existing lease until it ends. Leases allow the tenant "quite enjoyment" of the property. If you want to do improvements, you need to discuss this with the tenant and get their agreement. If you just start bringing in workmen and wrecking (i.e., renovating) their living unit, you will be violating their lease.