ABSTRACT
Similar to retail projects, preleasing and construction timing are also critical to the success of large urban office developments. Lenders typically require 50–60% of the office space be under signed leases before construction can commence. Planning for an office project often begins with negotiations with a large, well-known “lead tenant” such as a law firm, accounting firm, insurance company or financial institution. This chapter details the process for locating a lead tenant, negotiating terms with the lead tenants and office lease letters of intent.
