All Forum Posts by: Kirk R.

Looking for guidance. Also seeking legal counsel if someone here can point me in right direction.

Recently purchased building with two legal units. I will owner occupy the third unit. Neither tenant has leases however not sure if eviction is an option Chicago has unique set of rules due to COVID and not forcing any eviction until July 25th. Would not mine keeping tenants however one tenant has not paid rent and is not communicating well at all. 

Wondering best move as tenant does not have lease and Currently occupies illegal unit (was there when building was purchased planned on signing new lease to legal unit).

Thoughts?

I'll give you a business recommendation, not legal counsel.You should only get legal council from an attorney.

I'd do the following: If available review the record of the non-paying tenant before the COVID lockdown. If the records show the tenant was not paying rent prior to COVID I would then send a notice terminating tenancy. The objective to put the tenant on notice that he will be evicted immediately after the lockdown is over and you will be first in line at the court to file an eviction. 

If the records show that the tenant was paying but stopped paying after the lockdown then I'd send a series of communications to the tenant that hopefully they respond to. The first letter should communicate at a general level an understanding of the impact of COVID on the economy, jobs & the potential ability of the tenant to pay. The letter should encourage the tenant to communicate so you can work something out. I'd send a second letter a couple weeks later again acknowleding what's happening around us and being empathic if the tenant has been affected financially but encouraging communication. A couple of weeks later- a 3rd letter should be a notice of terminating tenancy. 

The notice of terminating tenancy, whether 30 or 60 day notice, is not an eviction itself. It's a notice that your required to send before evicting a tenant. It's the start of the eviction process. You won't be able to go to court until 25 July. This is what I would do on the business side. Because of the cost for evicting (legal costs) I would also consider cash for keys. This may be one of the final communications before the notice.

Please don't take any of the above as legal advice. We first seek to understand circumstances, acknowledge & work with those who are communicating with us. If there's no communication we have to assume the worst and do what we can to protect our investment.