Agreement Built to fitWere, and,, and,, and,, and,.. In the literary translation means “built to serve”, This is a location method, in which the owner (landlord) is carried out to build or receive property according to the specifications and requirements of the future tenant of the future tenant.
This practice is common in the corporate market, especially for companies that require personalized facilities for their activities such as industries, logistics centers and large offices.
In Brazil, this method was controlled by Law No. 12,744/2012, which was inserted into Article 54-A The tenant lawFormally identifying Built to fit As a specific form of lease agreement.
What are the specific features of the agreement Built to fit?
This type of agreement has the specifics of separation from traditional positions:
- Property Personalization: The space is designed and built to meet the specific requirements of the tenant, ensuring that the infrastructure is connected to the company’s operations;
- Extended lease: Due to considerable investment in the construction or adaptation of property, Deals usually have the most expirations, Often between 10 and 20 years, the investment will return to rent;
- The specific end terms: To protect the investment made, It is common to establish tough penalties when the contract tenant ends in advance, and may be considerable penalties;
- Value of adjusted rent: Oh Rent It is calculated to repent of the tenant to invest in property construction or adaptation and may be higher than traditional areas.
Why does this type of lease become interesting?
Oh Built to fit It offers benefits to tenants and tenants. Look at the main ones:
- For the tenant: Provides appropriate property without the need to invest the equity in construction, allowing the company to specify its resources The main business. In addition, it eliminates concerns about works and reforms, as the tenant takes on this responsibility.
- To the tenant: Able guarantees a long -term agreement with Able’s cash flow and revenue on the investment made in property construction or adaptation.
This method is especially attractive to companies that require specific facilities and want to avoid stabilization of capital assets.
Why do you need to know this?
Understand the operation of the agreement Built to fit This is essential for companies that seek real estate solutions to meet their operational requirements without compromising capital in real estate investments.
This contract provides modalty flexibility and personalization, allowing companies to work in suitable places for their activities, while the tenant guarantees return on their investment.
Knowing the specifics of this type of agreement allows more effective discussions and strategic decisions in the corporate market.
