Expert: Jim Avancena, CPM - 6/9/2010

Question
I've been looking for a space to open a vintage clothing store in or near my community since January. I've looked at quite a few. In April I found a great little location that fit most of my criteria. It is a small strip center owned by a woman and managed by her son and daughter. The son manages the details out of Austin while the daughter is local (north of Houston in The Woodlands). The daughter showed me the three available spaces that fit my needs (the fourth was too large). I expressed my interest, and the son sent me the details via email. I sent him an informal proposal on one of the spaces. Slow in getting back to me, he informed me that the particular space had been leased. I sent him a proposal on another. He was amenable if not agreeable to the proposal on May 13 then agreed to the proposal on May 18 (all via email) and said he was drafting the lease and would get it to me soon. I waited. The next week I emailed asking for an update. No answer. I waited and sent one to two emails a week saying I was more than ready to move forward and looking forward to getting into the space. Yesterday, I telephoned. The sister called back in the afternoon and said they had someone interested in leasing all of the remaining space (to build out into one) for 3 years. I remined her that we had an agreement. She told me that the other potential tenant hadn't indicated any firm offer, but she wanted to contact them again. I said that her brother and I had reached an agreement and I had been waiting for the lease. Her brother is listed as being with a commercial realty group in Austin. Anyway, after some fast talking about being busy, infused with apologies, she said she would get back to me today. I am not holding my breath. I haven't checked with an attorney but it's my understanding that the agreement discussed in the emails constitutes a contract. I thought I might send another email to the brother asking to move forward with the lease. I want this space and want to get started setting up my shop but I don't want to come across as demanding and risk a tense relationship.
The terms we agreed to are a one year lease for 600 sq ft space at 9.00 sq ft per year, tenant pays utilities, landlord pays taxes and CAM. Landlord replaces missing ceiling tiles and does preliminary cleaning before turning over to tenant who is responsible for the costs of any desired buildout.
It seems they are now stalling in hopes of leasing all of it to one business for 3 yrs.
What can I do?
Thank you in advance.

Answer
Jamey -

You should contact an attorney familiar with landlord/tenant law to assist you with this immediately.  I have no knowledge of the germane law in your area.  It appears this lease will be difficult for you to attain at this point with the brother controlling the process.

Keep in mind that you would still need to get a more complex and detailed formal lease document from the brother which both you as the tenant, and the mother as the landlord would need to agree to and execute.  The formal lease document could contain other lease terms that you don't find acceptable and would want to ask the landlord to remove or revise before you would sign the document.  

You should talk with an attorney in this regard TODAY and get his/her advice regarding how to proceed.  

Good luck,

-Jim