A letter of intent summarizes the key terms of a leasing deal that’s still subject to negotiation. A well-crafted letter is a road map that will not bind either party to the deal, but it will reflect everyone’s serious intent to get this lease signed.
Writing a Non-Binding Letter of Intent
Tenants occasionally want to write their own, non-binding letter of intent, to confirm preliminary understandings and set the stage for negotiations. It’s important to make sure that the letter does not turn into an enforceable contract, like a lease.
Responding to a Letter of Intent
Knowing how to respond to a letter of intent, especially one that might bind you to its terms, is key to keeping lease negotiations open. A landlords binding letter of intent needs to be addressed immediately, lest you end up being bound by its terms.