The Commercial Lease Agreement is an agreement between a landlord and a tenant to lease a certain commercial premises for a specified term, which could be an office building, storefront, restaurant, or any other property leased for commercial use. a commercial lease agreement template will make your commercial lease process as smoothly as possible.
Commercial Lease Agreement
There are differences between commercial lease agreements and residential lease agreements. There are differences in the terms of the contract. a commercial lease agreement is in general a long term lease whereas a residential lease is a short term in nature. commercial lease agreement is often customized as businesses often need special features in their spaces.
Commercial Lease Types
Business need to consider lease options when deciding lease a property or buildings. there are basically two types of lease: operating lease and capital lease. both lease types have their own advantages and disadvantages.
A capital lease is a long-term lease over the expected life of the equipment. You must show the leased asset and liabilities on your balance sheet as if the item has been bought by the company. For operating lease, however, you only pay regular payment and the leasing company takes care of maintenance and insurance. the operating lease do not have to show the lease assets and liabilities on their balance sheet.
Commercial Lease Agreement Template
When you create your own commercial lease agreement template, it is important to include all relevant requirement and information
Commercial lease agreement template format: because the commercial lease all has unique features and conditions, there is no such thing as a standard commercial lease form. The results of negotiations between the landlord and potential tenant usually determine the contents of the final commercial real estate lease agreement.
Commercial lease agreement template content: your lease template should leave spaces for basic items such as property address, start and termination dates, names of all parties involved including their signatures, the rental amount and complete detail of all deposits.
The first part of commercial lease agreement template is about details of the leased property. In this section, you should list the space you are renting. The special requirements and arrangements you have on the property etc.
The second part of your commercial lease template is the details of lease Rent. In the section, you need to clearly identify how the rent is calculated, including common area maintenance and other costs associated with the lease.
The third part of your lease template is about lease Term. In the section, you need to state clearly the start and end date of the lease. This section may also describe how the lease may be re-negotiated.
The last part is for commercial lease deposit. this template section should describes the security deposit the tenant is required to provide, and the circumstances under which the lessee may get refund.