Practice Test Geeks(CRECI) Commercial Real Estate Certification Institute Practice Test
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Tenant and Owner Relations Flashcards

7 cards from real CRECI practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Tenant and Owner Relations flashcards as text

  1. A commercial tenant claims the landlord's failure to repair a broken HVAC system constitutes a breach of the implied warranty of quiet enjoyment. Which legal concept best supports this claim?

    Answer: Constructive eviction

    Constructive eviction occurs when a landlord's failure to maintain premises renders them substantially unfit, forcing the tenant to vacate.

  2. Under a net lease, which expense is the tenant primarily responsible for paying in addition to base rent?

    Answer: Property taxes only

    In a net lease, the tenant pays base rent plus property taxes, with single-net being the most basic form.

  3. A landlord wants to enter a tenant's commercial space to inspect for lease compliance. What should the landlord do first?

    Answer: Provide advance written notice as required by the lease

    Even in commercial leases, landlords should provide notice as specified in the lease agreement before entering the premises.

  4. A commercial tenant subleases part of its space without the landlord's consent, violating the lease. What remedy can the landlord typically pursue?

    Answer: Terminate the lease for breach of its terms

    An unauthorized sublease is a material breach of the lease, entitling the landlord to terminate the lease agreement.

  5. What is the primary purpose of a landlord requiring a personal guarantee from a commercial tenant?

    Answer: To hold the individual principals liable if the business entity defaults on rent

    A personal guarantee makes individual principals personally responsible for lease obligations if the business entity fails to pay.

  6. A tenant holding over after lease expiration without a new agreement is classified as which type of tenancy?

    Answer: Tenancy at sufferance

    A tenancy at sufferance arises when a tenant remains in possession after the lease expires without the landlord's consent.

  7. Which provision in a commercial lease allows the tenant's rent to increase based on the Consumer Price Index?

    Answer: Escalation clause

    An escalation clause ties periodic rent increases to an index such as the CPI to protect the landlord against inflation.