A sublease is a lease in which the original lessee or tenant assigns its interest in the lease to a third party, making the original lessee the sublessor, and the new lessee, the sublease or subtenant. The sublessor or original tenant remains liable to the original lessor in accordance with the terms of the original lease. The rent paid by the sublesse may be greater or less than the amount payable by the original lessee depending upon market conditions. Sometimes the original
landlord can demand a percentage of any increased rental as a condition of approving a sublease. Generally, landlords retain the right to approve subleases. A sublease may be for a portion of the original leased space or all of it.
Assignment of Lease
An assignment of lease is similar to a sublease except that the original lessee transfers 100% of its interest to the assignee, thus, the assignee pays the same rent payable by the original lessee and takes occupancy of 100% of the space occupied by the original lessee. Landlord approval is generally required.
A lease is a contract calling for the lessee or tenant to take possession of building space fora defined period of time, from the building owner or landlord, in consideration of the payment of rent. A lease is an interest in real property.
A license is a contract permitting the licensee the right to temporary use space owned by the licensor. A license is not an interest in real property. The right to enter a movie theater or park a vehicle in a daily parking garage are examples of licenses.
Whether you need more space or less space, the agents with Pacific Realtors can assist you with subleases and assignments anywhere in Southern California. Please call for a no-cost consultation.