A commercial property owner in Halifax wishes to sell an office building with several long-term tenants. The potential buyer requires assurance regarding the tenants' lease terms, rent payment status, and any outstanding disputes. The property manager is asked to facilitate this by obtaining specific documents from each tenant. Which document is crucial for the property manager to obtain from each tenant to provide this assurance to the prospective buyer?

Question: A commercial property owner in Halifax wishes to sell an office building with several long-term tenants. The potential buyer requires assurance regarding the tenants' lease terms, rent payment status, and any outstanding disputes. The property manager is asked to facilitate this by obtaining specific documents from each tenant. Which document is crucial for the property manager to obtain from each tenant to provide this assurance to the prospective buyer?

Answer options:

• A copy of the original lease agreement for each tenant.
• An assignment and assumption agreement from each tenant. ✅ An estoppel certificate and a subordination, non-disturbance, and attornment (SNDA) agreement from each tenant.
• A certificate of occupancy from the municipal authority for each leased suite.

Correct answer: An estoppel certificate and a subordination, non-disturbance, and attornment (SNDA) agreement from each tenant.

Explanation: An estoppel certificate provides verification of the lease terms and status directly from the tenant, while an SNDA agreement defines the relationship between the tenant, landlord, and lender (or new owner), providing security and clarity during a sale.