What provisions should be included in a commercial lease agreement?
Feb 23, 2023
There are several provisions that you should include in a commercial lease agreement. Here are some examples:
- Parties: The names and contact information of the landlord and tenant should be included in the lease agreement.
- Property: The address and a detailed description of the leased property should be included.
- Term: The length of the lease term should be specified, along with any provisions for renewal or termination.
- Rent: The amount of rent due, when it is due, and how it should be paid should be clearly stated.
- Security deposit: The amount of the security deposit, the purpose for which it may be used, and the conditions under which it will be returned should be included.
- Use: The tenant should be required to use the property for a specific purpose, and any restrictions on the use of the property should be outlined.
- Maintenance and repair: The landlord and tenant should both have responsibilities for maintaining and repairing the property. These responsibilities should be clearly defined in the lease agreement.
- Utilities: The agreement should specify who is responsible for paying for utilities such as electricity, gas, water, and trash removal.
- Insurance: The tenant should be required to maintain insurance on the property and provide proof of insurance to the landlord.
- Default: The agreement should outline the consequences of default, including the landlord’s right to terminate the lease and the tenant’s responsibilities for unpaid rent and damages.