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Understanding your Dental Lease: Exclusivity Clause

Tim CarlsonTim Carlson Tim CarlsonMay 28, 2015May 28, 2015
Understanding your Dental Lease – Exclusivity Clause

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Read Time:1 Minute, 28 Second

The dental office lease is an important part of your dental practice. Over the course of your career it can be one of the most costly business expenses you have. To set yourself up for success now and in the future, it is essential to understand what to look for in a lease and to know what to ask for when negotiating.

Over the course of this series, we will go through the top 5 lease clauses for dental professionals to understand. This week, we’re talking about exclusivity lease clauses, what you need to know about these types of clauses and how they could be useful for your practice.

What is the exclusivity lease clause?

An exclusivity clause is when a landlord will give a tenant (you) the exclusive right to be the only tenant with a specific business use in a building, shopping center or business park. An example of this is the exclusive right to be the only orthodontist in a shopping center.

Why is this important to dentists?

This is beneficial to you because it prohibits your competition from opening a similar business in the same place. These types of clauses are not always very easy to obtain, but, if it is important to you it should be addressed immediately upon beginning negotiations with a landlord on a lease document. Generally there will be conditions associated with this clause, like defining specific business types and if/how a landlord will seek approval from a tenant in allowing a certain business.

If you would like to learn more about exclusivity or general dental lease information, contact me at 612.373.0281.

Look for lease clause tip  #2 from the top 5 lease clauses to know for dental leases next week!

Tim CarlsonTim Carlson

About Post Author

Tim Carlson

Tim Carlson is a Senior Advisor with Cresa in Minneapolis, MN. He can be reached by email at tcarlson@cresa.com
http://www.cresa.com/
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