Advice on Inheriting Tenants AND Property Management company?

2 Replies

I am in the middle of a deal where I am inheriting tenants and a property management company.  

I have to abide by the lease from a landlord/Tenant Perspective.  However, I don't want to continue with the Property Management company and the sample contract I have is silent on the sale of the property.  Do I inherit the terms of the Property Management contract similarly to the tenant lease?

Should the current owners be notifying the PM that the contract is ending?

Thanks in advance!

Mike

The PM contract does not covey to a new owner if you are only buying the property.  If you are buying the entity, however, which is party to the contract, all contractual obligations would remain in tact  after the sale. 

The PM contract does not covey to a new owner if you are only buying the property.  If you are buying the entity, however, which is party to the contract, all contractual obligations would remain in tact  after the sale.  Yes, the current owners should notify the PM.  Usually there is a clause in the PM agreement addressing what happens if the property sells during the term if the agreement.