As a facility manager or commercial property owner, your primary goal is to secure a reliable, profitable tenant for your lease year-over-year. This tenant will secure a positive cash flow for you, and make your investment (or managed property) a hands-off endeavor. And while most tenants want as much control over their leased property as possible, there are some services they still rely on you to provide for the building.
Most facilities have a Fully Repairing and Insuring (FRI) Lease, which puts the responsibility for repairs on the tenant. This essentially gives tenants the power to choose contractors for repairs and renovations and guarantees the building will be returned to its original condition upon termination of the lease. However, property owners are still responsible for these three elements:
- Electrical maintenance – The property owner has legal responsibility for maintaining electrical safety standards as set by the Electrical Safety Council. This includes any necessary repairs as well as full testing on the building carried out every five years.
- Communal area maintenance in multi-tenant buildings – If the building is let to multiple tenants (such as in a mall or shopping complex), shared areas such as parking lots, sidewalks, and restrooms are typically maintained by the property owner.
- Landlord-owned fixtures – Any fixture owned and installed by the landlord must be maintained and safe to use. While tenants may perform maintenance on these fixtures if they choose, many landlords reserve this right to ensure they can choose the contractors and upgrades performed on permanent facility elements.
MaintenX can help you maintain your property with preventative care and affordable repair services for whatever you and your tenants need. To learn more about landlord responsibilities in commercial leases, visit our Resource Center.
