Updated Model Green Lease takes LEED Commercial Interiors into account

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by Rebecca Walker — November 30, 2009—The acclaimed Model Green Lease is being updated to accommodate the USGBCs LEED Commercial Interiors rating system. Released in July 2009, the Model Green Lease has become the template of choice for green lease agreements from Australia to Dubai.

“When the Model Green Lease was released we knew that we would be updating the Tenant Work Letter Agreement to reflect LEED for Commercial Interiors in six months,” said Alan Whitson, RPA, Chair of the Model Green Lease Task Force. “Our plan was to allow enough time for a sufficient number LEED – CI projects to be completed, especially in buildings seeking LEED – Existing Building Operations & Maintenance. We wanted to make sure the dust was settled and all the issues were clearly indentified.”

Four new documents will replace the perfunctory work letter first released with the Model Green Lease.

  • “Turn-Key Work Letter” – landlord hires and controls both the architect and general contractor. A final “space plan” or “construction drawings” are prepared and agreed to at lease signing.
  • “Landlord-Controlled Work Letter” – tenant hires and directs the architect to design the space, and the landlord hires the general contractor to build it. Rent starts upon substantial completion of the tenant improvements.
  • “Tenant-Controlled Work Letter” – tenant hires and controls both architect and general contractor. Rent starts on an agreed-upon date under the assumption the tenant has control over the speed of the project.
  • “LEED Commercial Interiors Certification Agreement” defines the roles and responsibilities of the landlord and tenant, certification goals, and resolution process if certification goals are not achieved.

All buyers of the Model Green Lease will receive the update once it is released in January 2010. The Model Green Lease is available on CD or downloadable on the Internet. It includes a reference guide on understanding and working with the Model Green Lease, plus an editable copy to use in for leasing transactions.

For more information, see the Web site.