Updated about 9 years ago on . Most recent reply
Existing Tennants and a New Owner
I am closing on 2- 4 unit buildings at the beginning of next month. The existing owner has been nonexistent for the better part of the a year at the properties. We are planning on starting capital improvements right away and should be able to turn the properties around rather quickly. The 8 units are currently 100% occupied and are all on month to month leases. We will need to have all the tenants enter into a new 1-year lease with us and we will need to increase rents a minimum of $25 per unit per month from the start, rents are currently under market rents. My question is what is the best way to be respectful of the tenants, many of which are long term tenants, but also let them know that they will have to sign a 1-year lease and that their rents are increasing as of the first? I want to be respectful of them however they need to know that this is nonnegotiable.