Understanding your Dental Lease: Relocation Clause

Over the past four weeks, we’ve been talking about important lease clauses for dental practices to understand, and so far they’ve all had one thing in common – they’ve all been lease clauses that are desirable to have in a contract. For our final tip, though, we’re going to cover a lease clause that you want to avoid. So grab your lease agreement and your reading glasses, we’re talking about relocation clauses this week.

What is the relocation clause?

A relocation clause is one in which the landlord retains the right to relocate a tenant to another part of the building, shopping center, or business park. Typically this clause will define the financial expectation and timeline of construction if the landlord has the right to relocate your practice. Tenants want to make sure that in the lease, the landlord does NOT have this right.

Why is this important for dentists?

You should try to make sure this clause is not part of your lease with the landlord. If it cannot be removed, at least make sure that the expectations of the landlord for relocating your practice are clearly defined. If you clearly define these expectations, you can avoid any financial disruption or harm to your business, customers and employees.

If you would like to learn more about relocation or general dental lease information, contact me at 612.373.0281. Or if you want to look back at all of our top 5 lease clauses for dental professionals to understand, you can find them all here