Skip to main content
All CollectionsRisks
Tenant Default
Tenant Default
Yielders avatar
Written by Yielders
Updated over 5 years ago

In the event of a tenant failing to meet its obligations to the owner of the property, investors will experience a fall in the cash receipts and cash available for distribution to them. Bankruptcy laws can be used by a tenant at any time for their protection, and this can mean that their lease is terminated and rejected. As a result, the tenant may no longer make any more payments on time, or any payments under its lease at all. 

Did this answer your question?