How Can A Commercial Lessor In Florida Recover Funds When The Tenant Won’t Pay?
Are you about to become a commercial lessor in Florida? Congratulations! You should know that a Florida statute (F.S. § 83.08) gives commercial lessors a statutory remedy for missed rent payments. The statute allows the lessor to put a lien against property on the leased premises. Eventually, almost all lessors are forced to deal with tenants failing to pay rent. You don’t just have to accept the missed rent as a loss though. The statute allows commercial lessors in Florida the automatic right to get a lien on all property within the premises owned by the tenant.
Now, it doesn’t mean you can just storm in and seize property. Obviously, there’s a process for the actual property seizure. In order to enforce the lien, lessors just have to file a “distress for rent” complaint to start the proceedings to actually seize the tenant’s property in an effort to cover the cost of missed rental income.
This is one time when a lease is especially important. The statutory remedy is only available during the period of time written in the commercial lease agreement. Some lessors make a lease agreement for one year, and then assume that the business would prefer to stay put and fail to have the tenants sign another lease. Lessors should remember that when the lease if over, the statutory remedy of a lien is no longer an option.
Are You Looking for a Hard Money Loan to Flip a House Or Buy A Rental Property?
Paces Funding is a hard money lender offering hard money loans to purchase and renovate non-owner occupied residential and commercial properties throughout the Atlanta, Nashville, Florida, or the North and South Carolina metropolitan areas. Our application process for hard money loans is easy. Just fill out this very simple online form and you will be contacted shortly. Unlike other lenders, the window between applying and funding is very small. We have funded properties in as a little as one day, but typically funding hard money loans takes about seven to ten days.
Call us at 404-814-1644 or contact us online to find out whether you might qualify for this type of funding. In the meantime, check to ensure that you meet our loan criteria. Our loan amounts can be up to 65 percent of the after-repaired value of the collateral—and if you use the loan for renovation or construction, the loan amount can be based on the collateral’s improved value.