Doing the Right Thing

Published May, 17, 2020

Holly Gardner, President

We hear it all the time… “Just do the right thing.” It sounds so simple, but it’s not always black and white. Sometimes the right thing for one person, is not the right thing for another. I think many of us in commercial real estate are facing that dilemma on a daily basis right now. Contrary to popular caricatures of our industry, we are not soulless greedy individuals.  We care – about our communities, our cities, our employees, our constituents. However, the problem is, the needs of our constituents do not always align. What our tenants need right now and what our investors need right now are two very different things. But each need is just as important as the other. So how do we do the “right thing” for both?

We have an obligation to do everything within our power to deliver returns to investors. They have entrusted us with their very hard-earned money and it’s our obligation to safeguard it. We are a fiduciary first and foremost.

We are also a Landlord. We have tenants whose businesses are struggling to survive in this economy. They’re turning to us for assistance when they can’t find any other way. Some have been lucky enough to receive government funding to help them survive in the short term. Others were not so lucky and they’re in a position of ongoing expenses with limited-to-no income.

So, what’s the answer? What’s the right thing to do? How can we help?

For those of you holding your breath in anticipation of finally learning the secret to solving this dilemma, you can exhale. I don’t have the answer. At least not ALL of the answers. Each and every circumstance is unique. There is not a one-size-fits-all approach.

As with all problems that need solving, it should start with communication. Pick up the phone and talk to your tenants. How are they doing? Where and how are they struggling? What are their plans? Be sure to also keep your investors informed of your actions and positions. Lack of communication breeds fear and uncertainty.

Once you have that information, search for the balance. Without tenants, there is no income and the building and investment fails. Without investors, there is no money to support the investment. We need to find ways to support one another and encourage mutual success.

I’m seeing a number of creative solutions being put into motion. Some are offering rent forbearance and plan to apply reasonable repayment plans or defer the outstanding balance to the end of the lease in the form of additional term via an amendment. Others, that do not have mortgage or distribution obligations, are temporarily forgiving rent to help their tenant’s stay as strong as possible. There is some contemplation about amending leases to lower base rent and include percentage rent. There are so many creative approaches being utilized, and it’s inspiring to see the industry working together to come up with the best approaches.

For The Schuster Group, that balance means a little bit of everything. Every tenant has unique circumstances and needs, and we are working with them one-on-one to find a solution that works for their situation. Tenants are not being punished for an inability to pay right now and we are letting them know that we are here to help them succeed. If they can pay, even if it’s just partial, we’ve asked them to contribute what they can, and they are.

Our tenants understand that we care, but we also have an obligation to protect the building and that requires funds. Utilities, taxes, insurances and mortgages are not being waived or forgiven right now. Landlord expenses continue with little relief. We’ve been upfront about that and they understand. I’m shocked at how much they care. I see so many stretching themselves to pay us whatever they can so we can pay our obligations.

By taking this approach on an individual level with our tenants we’ve created community investment in the building and its occupants. We all have a common goal. As we slowly reopen our economy, the building will still be in excellent condition, positioning our tenant’s businesses for success as they rebuild. Whatever debt tenants have accrued will be dealt with over a long-term repayment plan or at the backend of their lease term.

With this approach, we’ve created a situation where we are receiving as much income as possible during this crisis, have furthered our relationship with our tenants, created every possible opportunity of success for tenants to rebuild their strength as the economy reopens, and ensured that all of the outstanding obligations will be paid back to investors in time.

This is just one example of finding that balance and doing the right thing by as many of our constituents as possible. This particular scenario works for our current portfolio and tenant base. It may not be the right solution for everyone, but hopefully in sharing our approach, we’ve encouraged creative thinking from others as we all work to solve unprecedented dilemmas without a rule book to follow.

Drastic times do not always call for drastic measures. Sometimes they call for empathy and collaboration. I choose to believe in the communities we’ve created and the constituents we’ve chosen and bet on them. In turn, I hope they will continue to bet on us. We WILL get through this together. By doing whatever version of the “right thing” we can find.

62 Comments

  1. You’ve made some good points there. I checked on the internet to
    learn more about the issue and found most people will go
    along with your views on this website.

    Comment by spboqq — September 11, 2020

  2. Like!! Thank you for publishing this awesome article. Alyss Burgess Flower

    Comment by 7 kogus — December 10, 2020

  3. Wow, this post is nice, my younger sister is analyzing these kinds of things, therefore I am going to convey her. Kelli Cam Renfred

    Comment by film izle — January 17, 2021

  4. This iss the perfect site for anybody who wishes to fibd out about this topic. Michelle Padget Krein

    Comment by film izle — January 18, 2021

  5. I pay a quick visit each day some web pages and information sites to read articles, except this web site presents quality based content. Matelda Ingrim Elmer

    Comment by filmi full izle — January 18, 2021

  6. Very interesting points you have noted , thankyou for putting up. “The earth has music for those who listen.” by William Shakespeare. Fidelia Lucais Aklog

    Comment by erotik — January 21, 2021

  7. Good way of describing, and pleasant piece of writing to get information about my presentation subject matter, which i am going to convey in college. Karlee Cecil Roswell

    Comment by 720p — January 29, 2021

  8. My programmer is trying to persuade me to move to .net from PHP. Ellie Udale McNalley

    Comment by movie online — January 30, 2021

  9. Had always planned to take it at 70 for us. It just works better in our situation Blancha Boris Evan

    Comment by online — January 30, 2021

  10. This is good to know since my son is a lego maniac! He would have a blast there and we probably would have to pry him away to leave.. Kellsie Vernen Akers

    Comment by online — January 30, 2021

  11. I have been absent for a while, but now I remember why I used to love this site. Thank you, I will try and check back more often. How frequently you update your website? Anitra Case Thirzia

    Comment by online — January 31, 2021

  12. I used to be able to find good info from your blog posts.| Dory Jo Debi

    Comment by filmkovasi — January 31, 2021

  13. for your blog you might be interested in hearing. Either way, Gene Hillard Ensoll

    Comment by movie online — January 31, 2021

  14. I have been absent for some time, but now I remember why I used to love this web site. Thanks, I will try and check back more frequently. How frequently you update your site? Shandy Perice Hedley

    Comment by netflix — January 31, 2021

  15. Because the admin of this web page is working, no doubt very shortly it will be well-known, due to its quality contents. Dody Anson Ahrens

    Comment by donmadan — February 4, 2021

  16. Gracias Andrea me encanta tu naturalidad te admiro mucho tu espontaniedad me parece Franky Hewett Kyriako

    Comment by hindi movie — February 7, 2021

  17. Hello, i believe that i saw you visited my blog thus i got here to go back the want?. I am attempting to in finding issues to improve my website!I assume its good enough to make use of some of your ideas!! Garnet Charley Carlson

    Comment by dublaj — February 7, 2021

  18. My brother suggested I might like this website. He was entirely right. This post actually made my day. You can not imagine simply how much time I had spent for this information! Thanks!| Robena Pepe Newman

    Comment by bedava — February 8, 2021

  19. I was able to find good information from your blog articles. Demetria Mikael Jacinta

    Comment by watch — February 8, 2021

  20. Mie Lemonilo ini enak di makan langsung tapi juga enak kalau dibikin kreasi makanan yang disukai anak-anak, biasanya biar makin sehat saya tambahkan sayur segar seperti brokoli. Avie Kelley Solly

    Comment by watch — February 8, 2021

  21. Yay google is my world beater helped me to find this great site! Nelie Gibbie Benni

    Comment by mp3 — February 9, 2021

  22. Does your theme use default WordPress post thumbnail or featured image? Jojo Sholom Hussein

    Comment by yabanci — February 10, 2021

  23. A great sharing thank you dear Alena. I love posca pens and have been an avid user since experimenting with them in your class a few years ago. Thank you for the continued inspiration. Antonia Cal Bent

    Comment by turkce — February 13, 2021

  24. Hello, I enjoy reading all of your article. I like to write a little comment to support you. Maggee Barnard Carita

    Comment by turkce — February 13, 2021

  25. Hiya, I am really glad I have found this info. Today bloggers publish just about gossip and net stuff and this is actually irritating. A good site with exciting content, this is what I need. Thanks for making this web-site, and I will be visiting again. Do you do newsletters by email? Sela Farris Friedland

    Comment by turkce — February 13, 2021

  26. Great, thanks for sharing this blog post. Thanks Again. Fantastic. Regine Quillan Clarey

    Comment by turkce — February 13, 2021

  27. After all, we should remember compellingly reintermediate mission-critical potentialities whereas cross functional scenarios. Phosfluorescently re-engineer distributed processes without standardized supply chains. Quickly initiate efficient initiatives without wireless web services. Interactively underwhelm turnkey initiatives before high-payoff relationships. Holisticly restore superior interfaces before flexible technology. Piper Hugues Silma

    Comment by turkce — February 13, 2021

  28. Someone necessarily lend a hand to make severely posts I would state. Nadeen Zebulon Starlin

    Comment by turkce — February 13, 2021

  29. Good post. I learn something new and challenging on blogs I stumbleupon every day. It will always be exciting to read articles from other authors and use a little something from other web sites. Alta Leroi Carlina

    Comment by turkce — February 13, 2021

  30. I have read so many posts regarding the blogger lovers but this article is actually a good paragraph, keep it up. Marlee Theodoric Madalena

    Comment by turkce — February 14, 2021

  31. I think this is among the most important innformation for me. Elsinore Prinz Meriel Clemmy Bink Henning

    Comment by turkce — February 14, 2021

  32. Penis pumps accommodate placing a tube express more all the penis and then pumping old-fashioned the musicality to concoct a vacuum. The vacuum draws blood into the penis and makes it swell. Vacuum devices reking.exproc.se/online-konsultation/hypofyseinsufficiens.php are every at the wink of an eye adapted to in the knee-high to a grasshopper stipulations treatment of impotence. But overusing a penis baffled can devastation the pack of the penis, pre-eminent to weaker erections. Lorette Guillaume Lynelle

    Comment by turkce — February 14, 2021

  33. Thanks so much for providing individuals with an extremely splendid possiblity to read in detail from this site. It is usually so great and also jam-packed with amusement for me personally and my office co-workers to visit your site at a minimum thrice every week to learn the new things you have got. Not to mention, I am certainly amazed considering the splendid things you serve. Certain 4 points in this post are unequivocally the finest we have had. Kellia Jorge Bandur

    Comment by turkce — February 14, 2021

  34. Hello, Can you please advise me how to get the cookie value getCampaignSource when the cookie is set for the first time, without a page refresh. Thanks in advance peter Farica Kristos Dareen

    Comment by turkce — February 14, 2021

  35. Gesu e la via la verita e la vita lode e gloria A Gesu salvatore il Signore e la salvezza e ha voluto che federica nascesse sana . Renae Renault Danieu

    Comment by turkce — February 14, 2021

  36. I simply could not depart your web site prior to suggesting that I actually enjoyed the standard info a person provide in your guests? Is gonna be again frequently to investigate cross-check new posts. Vita Zachariah Ninette

    Comment by turkce — February 14, 2021

  37. Usually I do not learn post on blogs, but I would like to say that this write-up very forced me to try and do it! Your writing taste has been surprised me. Thanks, quite nice post. Moselle Nowell Flori

    Comment by turkce — February 14, 2021

  38. This paragraph is actually a nice one it assists new internet people, who are wishing in favor of blogging. Alida Yale Roz

    Comment by turkce — February 14, 2021

  39. You have brought up a very great details , regards for the post. Rosemarie Stephanus Grobe

    Comment by turkce — February 15, 2021

  40. You need to be a part of a contest for one of the finest sites on the internet. I most certainly will recommend this blog! Kanya Elwood Rhyner

    Comment by turkce — February 15, 2021

  41. Diam nonummy nibh euismod tincidunt ut laoreet dolore magna aliquam erat volutpat. Miquela Chico Ping

    Comment by turkce — February 15, 2021

  42. Another variation of the rope training exercise is the Double Dutch. Karee Colet Helge

    Comment by turkce — February 15, 2021

  43. I have been absent for some time, but now I remember why I used to love this website. Thanks, I will try and check back more often. How frequently you update your web site? Anetta Teodoor Amadeo

    Comment by turkce — February 15, 2021

  44. After I originally commented I seem to have clicked the -Notify me when new comments are added- checkbox and now each time a comment is added I receive four emails with the same comment. There has to be a means you can remove me from that service? Thanks. Catina Whit Sherborne

    Comment by turkce — February 15, 2021

  45. please add more channels like colurs,sony discovery etc Corinne Domingo Sylvester

    Comment by turkce — February 15, 2021

  46. After I originally left a comment I appear to have clicked on the -Notify me when new comments are added- checkbox and now whenever a comment is added I receive four emails with the same comment. There has to be a way you are able to remove me from that service? Appreciate it! Alayne Frans Downs

    Comment by turkce — February 15, 2021

  47. I was pretty pleased to find this page. I want to to thank you for your time just for this fantastic read!! I definitely loved every part of it and I have you book-marked to see new things on your web site. Bidget Dolf Sidon

    Comment by erotik — February 16, 2021

  48. Having read this I believed it was rather enlightening. I appreciate you spending some time and energy to put this content together. I once again find myself personally spending way too much time both reading and posting comments. But so what, it was still worthwhile! Sapphire Randie Auvil

    Comment by erotik — February 16, 2021

  49. After all, we should remember compellingly reintermediate mission-critical potentialities whereas cross functional scenarios. Phosfluorescently re-engineer distributed processes without standardized supply chains. Quickly initiate efficient initiatives without wireless web services. Interactively underwhelm turnkey initiatives before high-payoff relationships. Holisticly restore superior interfaces before flexible technology. Violette Kev Cima

    Comment by erotik — February 16, 2021

  50. I will take CSC exam this August 2019, Can I ask for the complete reviewer. Please this thru my email account. Thank you very much. God Bless ! Mab Domingo Fachini

    Comment by erotik — February 16, 2021

  51. I used to be able to find good advice from your blog posts. Licha Enoch Tallbott

    Comment by erotik — February 16, 2021

  52. I could not resist commenting. Exceptionally well written!| Noreen Rustin Kopple

    Comment by erotik — February 16, 2021

  53. I will recommend your beautiful post site to my friends Delcina Devy Ceciley

    Comment by erotik — February 17, 2021

  54. If you are going for best contents like I do, only go to see this web page all the time because it presents feature contents, thanks Drusilla Vince Eastlake

    Comment by 샌즈카지노 — February 17, 2021

  55. Wow, wonderful weblog format! How long have you been running a blog for? Briny Perceval Irmina

    Comment by erotik — February 17, 2021

  56. Sed reprehenderit quam, non felis, erat cum a, gravida lorem a. Ultricies in pellentesque ipsum arcu ipsum ridiculus velit magna, ut a elit est. Ultricies metus arcu sed massa. Massa suspendisse lorem turpis ac. Dyanna Gardner Marcel

    Comment by erotik — February 17, 2021

  57. oooh, pumpkin puree instead of pineapple sounds like my kind of swap. and doubling the carrots. and decreasing sugar. thanks for the heads up that all of this works! Sibby Cooper Elfstan

    Comment by erotik — February 17, 2021

  58. Fantastic website. Lots of helpful information here.
    I’m sending it to a few friends ans additionally sharing in delicious.
    And naturally, thanks in your effort!

    Comment by Logan — April 7, 2021

  59. Here are some links to sites that we link to for the reason that we assume they are really worth visiting.

    Comment by Google — May 23, 2021

  60. Here is a good Blog You might Come across Interesting that we encourage you to visit.

    Comment by Google — May 23, 2021

  61. yzeD9d Valuable information. Lucky me I found your site by accident, and I am shocked why this accident did not happened earlier! I bookmarked it.

    Comment by is cbd legal in washington dc — June 30, 2021

  62. Thanks again for the blog.Really thank you! Great.

    Comment by buy cbd gummies — July 2, 2021

Leave a comment