The landlord needs to know the site area and building area of the properties they lease to the Postal Service. The building area is the net interior square feet of the space. Exterior walls are not included. The site area is the area encompassed by the leased parcel of land. It is the land area…
The parties to the lease agreement are identified in the first paragraph on Page 1 of the USPS Lease Agreement. The Landlord identity needs to be the same as (1) the Grantee’s name on the recorded deed, and (2) the identity of the taxpayer shown in local county records. Unless proper assignment documents are prepared,…
Postal lessors will usually negotiate a new lease with a CBRE agent. A new lease starts when the old lease expires and there are no options remaining. A renewal lease is one that contains options. When an option on a lease is given to the USPS, the lessor is giving the Postal Service the right…
2014 New Issues: Q. Why has my rents value increased from last year? A. Rent insurance is designed to protect the gross income members receive from their investment. While the insured amount of rent may be accurate for members who have kept rent amounts up to date or only recently joined the Insurance Program, many…
1. You may notice a small increase in your premium this year. Although the rate for calculating premiums remained constant, we are required to adjust the building values slightly upward (by 3%) to remain current with increasing repair and construction costs. Using the same rate for calculating premiums but a slightly higher building value means…
AUSPL members who own post offices in coastal states abutting the Atlantic Ocean and the Gulf of Mexico must not forget that hurricane season is fast approaching. Coverage under the AUSPL Insurance Program may be limited if a storm is “Named” by the National Weather Service (e.g. “Arthur” or “Josephine”). The AUSPL Insurance Program does…
A new, mandatory “Conflict of Interest Certification” form, intended to spot potential conflict of interest, must accompany each lease renewal and/or new lease negotiation, plus at any change of ownership. All landlords must sign the form, effective March 2014. A potential conflict of interest occurs if a landlord is also one of the following: 1.…
Clearly, the most important thing lessors can do to safeguard their postal investment is to read and understand their lease. We cannot emphasize it enough. Every day, AUSPL members call us with questions about their post office building. We always ask them what the lease says about the item in question. For example, CBRE, which…
It’s important to read and understand the maintenance rider in your lease. Lessors sometimes find the distinction between “housekeeping” and “maintenance” ambiguous. Here are several items that are considered housekeeping rather than maintenance: 1. Snow removal* 2. Grass cutting 3. Window washing 4. Floor waxing 5. Carpet cleaning The above items are generally USPS responsibility…
By Bill Eck, AUSPL Insurance Program The first thing you need to do is make sure that your property is protected from further damage. Contact a local contractor to make emergency repairs to secure the building. They can also give you an initial estimate to do the permanent repairs. The postmaster does not always know…