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St. Petersburg, FL asked in Landlord - Tenant, Real Estate Law and Criminal Law for Florida

Q: Can I sell a commercial property with a non-paying tenant in Florida?

I want to sell a commercial property in Florida, but there's a tenant on the property who has never paid rent for the past three years. There is no formal lease agreement, and I suspect the tenant, who is a felon, may have forged one. Can I proceed with the sale while I need to evict this tenant?

3 Lawyer Answers
Jacqueline Alicia Salcines
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A: If you never had a written agreement then you need to ask the buyer whether they want to purchase with a tenant in possession or not. If yes they will want a new lease but they can prepare it after closing. If they don’t then it’s your responsibility to make sure he is out prior to closing. Even if there is no written lease each County in Florida has mandatory requirement for notice before removing them. I would boring urge you to speak to a real estate attorney to represent you.

A: Yes, but you MUST disclose the fact there is a tenant on the property. I recommend that you retain an attorney to get the tenant out, legally. I urge you to retain an attorney to represent you in the sale of the building. you should not do either without an attorney.

Terrence H Thorgaard agrees with this answer

James L. Arrasmith
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A: Yes, you can sell a commercial property in Florida even if there’s a tenant occupying it, but it’s complicated when the tenant hasn’t paid rent and there’s no clear lease agreement. The presence of someone on the property who may be considered a squatter or unauthorized occupant can raise red flags for potential buyers. Most will want that issue resolved before closing, especially if there’s suspicion of a forged lease.

Without a formal lease, the tenant might not have legal standing, but you’ll still need to go through the proper legal channels to remove them. Florida law doesn’t allow self-help evictions, so you’d likely need to file an unlawful detainer or eviction action depending on how the court views the situation. If you can prove there's no valid lease and no rent has ever been paid, you’ll likely have a strong case to regain possession.

During this time, you’re allowed to market the property and even enter into a sales contract, but you’ll probably have to disclose the situation to any potential buyer. Most buyers will either ask for a lower price or require that you complete the eviction before they commit. So while you aren’t blocked from selling, clearing up the tenancy issue beforehand could make the process smoother and help you avoid price cuts or delays.

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