What do you ask on your tenant estoppel statement doc?

Question

Looking for language suggestions for a tenant estoppel statement to verify rent, deposit, any verbal agreements not in the lease, etc. Want to make sure I don't miss anything.

Mitch Messer · Answer

Hi @Mindy Jensen.

I use the estoppel process as an opportunity to uncover any of the hidden "gotchas" that might present themselves once I take over management of the tenant's residence. These areas of concern would at least include:

Verifying tenant information

• full names and ages of all residents and pets
• up-to-date employment information
• accurate phone and email addresses
• emergency contact info

Verifying the lease agreement

• rent amount
• start date
• end date
• security deposit paid

Verifying property repair status

• outstanding repair requests
• unaddressed conditions
• known problem
• repair promises made
• deferred maintenance

Hope this helps (or at least adds some items to your list!).

Mitch Messer · Answer

@Michael Rice I need this information as part of my due diligence, since it's critical to any go/no-go decision on a deal.

The last thing I want to discover on closing day that the current tenants are actually paying $100 less each month than I'd been told!

No, if the seller can't deliver all estoppel data in time, I'd get them to amend the purchase agreement to extend the due diligence period and push out the closing.

Michael Rice · Answer

I have a tangentially related newbie question on these. What do you do if you can't get all of them completed? Do you make it a condition of closing?

Kelly Wentworth · Answer

I'm in this situation right now. I'm inheriting tenants. Whose responsibility is it to present estoppel letters and receive them back?

Steve Morris · Answer

Looking for language suggestions for a tenant estoppel statement to verify rent, deposit, any verbal agreements not in the lease, etc.

Make sure you get copies of each signed lease with amount and amount of refundable tenant deposits (at closing, you should get a buyer credit since those go with the property).

As far as "unwritten" agreements, I don't think you can do much.  You might (ask an atty on how to word) for something in the PSA signed by seller stating that the supplied books and PSA contain all the tenant in agreements in effect at closing.

Estoppels are usually for commercial properties like retail / office since lenders will ask for those beyond a lease.

What do you ask on your tenant estoppel statement doc?

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