Hi, I have property under LLC and the current lease agreement with tenant reflects that. But due to issues with refinancing, insurance and also 800$ additional tax I had to pay in California, decided to move it out of LLC. My question is do I need to re-write the lease with tenant or is there any amendment that would suffice?
I am not a Lawyer and this is not legal advise.
I think that simply notifying your tenant to the change of ownership should suffice.
Generally speaking, from a common law perspective, if the lease was between different parties (LLC and Tenant) and now it needs to be in different names (OP and Tenant) then the lease agreement needs re-execution. Whether this applies in California is not something I can say. It could be modified by statute. Speak with a local attorney for more information. This rule may also change depending on specific facts not present; such as special terms of the contract.
I wouldn't do a thing. The lease stays in effect even with a transfer of ownership as would occur during sale. With this being a transfer "in-house" there is even less reason (IMO) to worry about informing the tenant.
Obviously I'm not a lawyer so take it for what it's worth, but I wouldn't think twice about doing anything.