Negotiating Exclusive Use Provisions In Retail Leases

Law360, New York (October 5, 2016, 5:16 PM EDT) -- One of the more frequently discussed provisions in a retail lease is the tenant exclusive. This article explains the fundamentals of a tenant exclusive from the perspective of the tenant and the various considerations to provide a healthy and robust advantage over competitors within the shopping center setting.

A tenant exclusive is essentially an exclusive right afforded to a tenant, typically within a retail lease, although often and appropriately incorporated into a recorded declaration or restrictive covenant, to: (1) be the only operator of a certain type, (2) be the only operator to sell a particular good or provide a particular...

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