Are you looking to secure a space for your business? A commercial lease agreement is the legal document that binds landlords and tenants in a rental partnership for business activities. Unlike residential spaces, commercial spaces are specifically designated for offering products and services. In this article, we will provide you with all the information you need to understand commercial lease agreements and help you find the perfect template to create a high-quality document. Let's dive in!
The Different Types of Commercial Lease Agreements
Commercial lease agreements vary depending on the type of business and the specific needs of the tenant. Here are some common types:
Triple-Net (NNN) Lease Agreement
In a triple-net lease agreement, the tenant pays a base rent amount plus a pro-rata share of the property expenses. This type of lease is commonly used in commercial real estate. [^image1]
Booth (Salon) Rental Agreement
For salon owners, a booth rental agreement allows you to lease a booth or designated area to other professionals such as hairstylists, massage therapists, or nail technicians. [^image2]
Co-Working Space Agreement
Co-working spaces are becoming increasingly popular among entrepreneurs and freelancers. This agreement allows multiple tenants to work in a shared office space with dedicated areas for individual work.
And More...
There are many other types of commercial lease agreements, including booth (massage) rental agreements, facility event agreements, garage (parking) rental agreements, gross lease agreements, modified-gross lease agreements, month-to-month leases, office leases, percentage rent leases, and sublease agreements.
How to Lease Commercial Space
Leasing commercial space can be a complex process. Here are ten steps to guide you through:
- Measure the available space to ensure it meets your business requirements.
- Set the rent based on the square footage and market rates.
- Calculate property expenses that may be included in your lease.
- Consider hiring an agent or market the space yourself.
- List the property online to attract potential tenants.
- Negotiate the terms of the lease agreement.
- Conduct a credit check on the potential tenant to assess their financial stability.
- Approve or disapprove the tenant based on their credit and suitability for your space.
- Write the lease agreement, ensuring all important terms and conditions are included.
- Once the lease is signed, the tenant takes occupancy of the space.
Recommended Clauses to Consider
When creating your commercial lease agreement, it's essential to include certain clauses to protect your interests. Here are two examples:
Americans with Disability Act (ADA)
If your commercial property offers "public accommodation" or has at least fifteen employees, it must adhere to all handicap access rules under the Americans with Disability Act. [^source1]
Hazardous Waste
To ensure compliance with federal, state, and local laws regarding hazardous waste disposal, include a clause that binds the tenant to adhere to these regulations. [^source2]
Get Started with a Sample Commercial Lease Agreement
To help you get started, we've provided a sample commercial lease agreement template that you can download in PDF, MS Word, or OpenDocument format. Simply click the link below to access it. [^sample]
Conclusion
Securing a commercial lease agreement is a crucial step for any business looking to rent space. By understanding the different types of agreements available, following the leasing process, and including important clauses in your agreement, you can ensure a smooth and successful rental experience. Use our sample template to create a high-quality document tailored to your specific needs. Happy leasing!
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[source1]: 42 U.S. Code § 12183 [source2]: 42 U.S. Code § 6901