WHAT IS A MASTER LEASE?
A Master Lease (also known as a Sandwich Lease) is a lease agreement that encompasses three or more parties. The initial lease agreement is between the Property Owner and the Master Tenant who has the right to sub-lease. Next, the Master Tenant sub-leases the property to the Occupant Tenant who will live in or occupy the residence.
WHO IS THE MASTER TENANT?
Target Realty Corp is the Master Tenant.
WHO PAYS THE RENT TO THE PROPERTY OWNER?
Target Realty Corp (as the Master Tenant) pays rent directly to the property owner. We deposit the rent directly to the owner’s bank account generally by the 5th of each month but guaranteed by the 10th of each month.
HOW ARE REPAIRS HANDLED?
Minor repairs are handled by the Master Tenant or occupant tenant up to a limit depending on the type of tenant (Long Term, Mid-Term, Short Term). Anything over $150 must be approved by Target realty Corp. We reserve the right to approve emergency repairs up to $500. Otherwise, the owner is contacted for approval depending upon the terms of the lease. All Major repairs are the responsibility of the property owner. Example: Roof, AC, major Electrical or Plumbing.
WHO IS THE OCCUPANT TENANT?
The Occupant Tenant is just as the name implies. They occupy the rental property.
HOW ARE OCCUPANT TENANTS SELECTED OR APPROVED?
We check and verify employment, income, criminal background, etc. Occupant tenants are selected on a “best qualified” basis, not “first come, first served” basis. We have some basic criteria such as three to four times income to rent ratio which is detailed in our Policy Manual.