Yeah so our lease is up in the air. Been working with this building since January. We've had three architects come by, drawn up two floorplans, given them two Letters of Intent, they have a 3-year P&L, a 5-year projection and a letter of credit from Wells Fargo. The last interaction we had with them was "Yeah, we'll do a 5-year lease if you pay for 50% of the TI." They came back with "Yeah, we'll pay for 100% of the TI if you do a 10-year lease." So then we brought in two architects (the first one, recommended by my sister the architect, was a farce) to come up with a real TI number. That real TI number came in within 5% of the previous estimate. So we gave them another letter of intent of "Yeah, we'll do a 10-year lease if you pay 100% of the TI, also we want to be able to buy out the lease after 5 years by repaying you 50% of the TI." They came back with "yeah, this isn't going to work out." Except it's bullshit because when we first started talking to the place their realtor was all "better hurry! We just accepted an LOI from someone else!" despite the fact that the place has been unrented since 2009. And now here we are, within the error bars of their previous terms, and they're all "fuck off and die." Which leads me to believe that their real estate broker is just an OMEGACHOAD but nonetheless. - 2 floor plans - 1 11-page narrative - 4 fucking conference calls - 2 site visits (which involve an airplane) - "Yeah, this isn't going to work out." We're going to give them a while to change their bullshit story, to quote The Fugitive, but yeah. Total hopelash.
We're not entirely sure it isn't working. The problem is, to do this stuff you've got a broker on our side and a broker on their side and you have to play like a 3-step game of telephone to do anything. We'll have a better idea of how badly it isn't working when we hear back from the other two steps.