Recession Wiping Out Leases; Security Deposits

[Ayatollahgondola]

Everyone is aware of the many forclosures affecting homeowners, but how about the commercial side? I had a first hand look at the side effects of a forclosure sale yesterday while I was getting a new tire for the Billboard.
This is a commercial property with about 50,000 feet of building divided among 5 tenants. The one I was at was a mechanic shop, and the the others are primarily auto related also. The owner of the business I was patronizing has about 5000 sq ft, has been in there for 3 years, and has a fair amount of business going on. While I was getting the price established, this Indian guy comes in with a clipboard in hand, and tells the owner he is the new landlord, having purchased the property at lein sale, and demands he sign the new lease with him...right now! Also, he demands a security deposit..right now! This business owner tells him he already has a deposit and a lease, but the new owner tells him those people "stole" his money and the old leases are not going to be honored. He shoved the lease in front of the auto shop owners face while he was bent over examining my tire rim, and let it hover there like it was a confession to be authorized by a man headed for the gallows. The auto shop owner rebuffed him several times, and told him he needed a few days to examine the lease, and would he please let him alone to deal with his customer (me). The new property owner wouldn't leave, and instead wandered throughout this guys business looking at his stuff as if he were in possession of a search warrant. I left the rim to be mounted, and caame back towards the end of the day to find "Gustavo" in charge, and with little english skills, no power to write a reciept, and no change..... The business owner had fled to find an attorney. Couldn't blame him really. He's in big trouble. The new owner could evict him in short order really, leaving him to find a new location in less than two months.
This is playing itself out at commercial properties all across the state right now. Your security deposits, last months rent, and goodwill location could all go up in a puff of paperwork, leaving you at the mercy of whomever has the cash to buy the property.

[Kathy63]

So common when foreigners get property. So very common. What they are doing is illegal, but they don't know that and don't care either. The business owner should have just called the police and let them deal with it. The new owner is nothing but a trespasser.

[ilbegone]

The man might own the property, but he has no business treating anyone like that.

I'm not in the owner's shoes, but stuff like that brings me right out of my shell - the man would have left after being asked twice (willing or not), and he wouldn't have been wandering around in the shop like he did.

I don't think I would care about being evicted - let the jerk try to fill the space in this economy.