Q&A
Lease negotiation process for school buildings
2:27:32
ยท
47 sec
Council Member Rita Joseph inquires about the lease negotiation process for school buildings. Cora Liu from the School Construction Authority (SCA) explains their standard procedures for lease renewals and evaluations.
- The process for school buildings is the same as for early childhood sites.
- SCA typically starts due diligence 6-12 months before lease expiration.
- The process includes environmental due diligence and evaluation by architects and engineers.
- Negotiations with landlords begin well in advance of lease expiration.
- In rare cases where landlords are not fulfilling their responsibilities, leases may be terminated and programs consolidated or relocated.
- SCA considers factors such as the building's condition and the landlord's performance in maintaining the property.
Rita Joseph
2:27:32
And when leases are up for school buildings, not just early sites, what's the process for that?
Cora Liu
2:27:38
It's the same.
Rita Joseph
2:27:39
It's the same process?
2:27:39
You go and negotiate because I have a school in my district, the lease is about to be up.
2:27:43
I just want to know what the process is.
Cora Liu
2:27:45
So typically six months or twelve months before lease expiration comes up, we would start our due diligence.
2:27:52
We'll do environmental due diligence.
2:27:54
We'll have, you know, our architects and engineers to evaluate the sites.
2:27:58
We'll start negotiation with the net north.
2:28:00
In very rare cases where if the net north is not doing a good job, you know, be responsible for making the buildings watertight or doing their share.
2:28:09
There are rare cases where we have terminated this and consolidated.
2:28:14
Again, if the space is not needed, there are other opportunities to place the programming a better setup.