Home Property Faulty leases hold tenants, landlords in toxic embrace

Faulty leases hold tenants, landlords in toxic embrace

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[Source: The Standard, by Wainaina Wambu]

The outcome of a court case between Africa’s biggest supermarket and its former landlord, The Waterfront Karen Mall, has drawn interest in Kenya’s retail circles.

The mall sued Shoprite, which was an anchor tenant, seeking Sh520 million in lost rent after the retailer terminated a 10-year lease agreement.

The case has exposed the prevalent lack of exit clauses in lease agreements between retailers and mall landlords, which ends up hutring both of them especially when unforeseen events such as the Covid-19 pandemic and…

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