Consent to Assignment

Process & Procedure
 
Under a consent to assignment, the terms of the lease remain the same; however, the supplier has changed due to ownership of the building.
 
Overview

When a new landlord acquires a building or landlord changes name/entity (FEIN) of which a tenant agency leases, the lease is assigned to a new landlord. When OGS Real Estate Services (OGS RES) becomes aware of this change, they issue a letter to the agency and us indicating an assignment is in process. In order to finalize the assignment, a Consent to Assignment (CTA) document needs to be executed by all parties involved (old landlord, new landlord, OGS RES, AG, and OSC).

While the CTA is at times a lengthy process, we will honor rent payments to the original landlord until the final CTA notification (STS request) is received by both us and the agency.


Business Services Center

Based on receipt of the final CTA notification letter from OGS RES, we will work with the agency on two simultaneous processes:

Process A for “original” landlord:

  • Ensure that all invoices have been submitted through the end of lease date per OGS RES lease assignment notification letter to “old” landlord.
  • Remove any funding from all open POs and/or contract lines that will not be needed to pay pending invoices due for the old contract. Funds needed to pay pending invoices will be left on the current PO.
  • Create a negative STS to remove the remaining balance from the contract.
  • Amend the end date of the contract to that reflected on the final notification letter from OGS RES.

NOTE: If invoices are received from the original landlord after the contract has been taken down, the invoices must be paid through the old contract.

Process B for “new” landlord:

  • Because this is a lease assignment, the new NYS contract number will be the same NYS contract number as before with an “A” at the end of it (example: old lease was L001234, the new lease is L01234A).

NOTE: The new lease will go up for the exact amount the old lease went down for. If additional funding is needed for this contract, this transaction will need to be processed separately.


Business Services Center

We will send both generated STS documents directly to OGS RES via email, copying the agency and any other contacts listed in the original email request.


OGS Real Estate Services

OGS RES sends the original documents to OSC for approval.


Office of the State Comptroller

The Office of the State Comptroller (OSC) approves the lease assignments, keeps one copy for their records and returns the other two signed originals back to OGS RES.


Business Services Center

When we receive a copy of the approval from OGS RES we stage the purchase order. Once dispatched, we will notify the agency and accounts payable. We will then link the fixed costs in the real estate module. As soon as payments are up to date, we will notify OGS RES and the lease will be made active.