Commercial Lease Review Lawyer​

Commercial Lease Agreement Review Considerations​

Type of Lease and Payment Terms:

The monetary compensation is an essential element of this contract. That is why it is highly important to fully understand the rent amount, any additional charges and the payment schedule for your budgeting plans and financial commitments. Understanding when the rent is due, and the possible penalties applied for late payment is also crucial.

Term of Lease and Renewal Options:

A commercial lease agreement will outline the term of the lease and renewal options. Reviewing these terms in detail will help you foresee if they match with your business interests and needs.

Maintenance and Repairs/Costs:

There are also other items incorporated into a commercial lease agreement such as utilities, insurance and maintenance and operating costs of the building. It is important to understand which responsibility pertains to which party including any potential cost sharing arrangements.

Permitted Use of the Premises:

A commercial lease agreement might include a clause that limits the purposes of use for a specific commercial space. You might want to review this clause in detail to understand if it aligns with your business requirements.

Assignment Options and Subletting:

If the lease agreement outlines the conditions on assigning the lease or subletting the premises, you should understand the extent of the flexibility granted by the Agreement to sublet or assign the lease.

Exclusivity:

Certain commercial lease agreements might include an exclusivity clause which might be a term that addresses to your interests. This sort of terms restricts the landlord from leasing to another tenant for the same business purpose.

Termination:

The lease agreement also outlines the terms for termination of lease. This provision might include details about early termination of the lease including any penalties or fees to be paid upon.

Insurance and Liability:

The commercial lease agreement also includes terms on insurance requirements to run business operations and the party responsible for obtaining the insurance coverage. Reviewing these terms is important to determine whether or not the insurance requirements match with your business needs and understand who the liability pertains to in certain specific events. (such as damages or accidents)