I’ll try to look some up today but I think it varies by lease and by loan. You can’t apply the same rules to a warehouse as an office as a grocery store. Also, big spaces are different than small restaurants. Might not be consequences for a Chipotle but there could be for a grocery store in the same strip mall. The leases negotiated between the landlord and the tenant also have to be approved by the lender.

The whole thing is called “going dark”, meaning they are still paying rent but not operating on the premises. It causes the borrower/landlord to go into something called “cash management”. They lose the ability to collect rents directly. It all gets sent to a special lockbox that the lender has access to. They use those funds to post the payment and other things like that. They send a portion back to the borrow for operating expenses then hold onto the rest. The borrower also has to pay cash management and bank account fees when this happens.

I remember there was a big fight at a shopping center near me because a grocery store wanted to move the grocery location and open a giant liquor store in its place but the landlord didn’t like that. I believe they ended up terminating the lease and a different grocery store moved in. My company didn’t handle that loan so I don’t know the details but I knew that the loan was likely the real reason for the fight.