Commercial Lease Agreement  

This Commercial Lease Agreement (the “Agreement”) is made and entered into as of [Date], by and between: 

Landlord: [Full Legal Name], having a mailing address of [Address], hereinafter referred to as the “Landlord.” 

Tenant: [Full Legal Name], having a mailing address of [Address], hereinafter referred to as the “Tenant.” 

The Landlord and the Tenant may each be referred to herein as a “Party” and collectively as the “Parties.” 

Premises. 

a. The Landlord hereby leases to the Tenant the following commercial property (“Premises”), situated at [Full Property Address and Description (suite number, floor, etc.)]. 

b. The Premises shall be used exclusively for [Describe Tenant’s Business/Authorized Use]. Any other use is prohibited without the prior written consent of the Landlord. 

Lease Term. 

a. The term of this Agreement (“Term”) shall commence on [Commencement Date] and shall expire on [Expiration Date], unless earlier terminated under the provisions herein. 

b. If the Tenant remains in possession of the Premises after the expiration of the Term without executing a new lease, such possession shall be deemed a month-to-month tenancy subject to all the same terms of this Agreement except as modified by the Landlord in writing. 

Rent. 

a. The Tenant shall pay monthly rent in the amount of [Rent Amount in USD], due on or before the [Due Date, e.g., 1st] day of each month, payable to the Landlord by [Specify Payment Method]. 

b. If rent is not received within [Grace Period, e.g., 5 days] after the due date, a late fee of [Late Fee Amount or Percentage] may be charged. 

c. In the event the commencement date does not fall on the first day of a calendar month, the rent for the partial month shall be prorated based on a 30-day month (or as otherwise permitted by local law). 

Security Deposit. 

a. The Tenant shall pay a security deposit in the amount of [Security Deposit Amount in USD] upon execution of this Agreement or before taking possession of the Premises. 

b. The security deposit shall be held by the Landlord to cover damages, unpaid rent, or other charges related to the Tenant’s breach of this Agreement. 

c. The return of the security deposit (or any remaining balance) shall be governed by applicable state law, including any deadlines or itemization requirements for deductions. 

Operating Expenses/Additional Rent (Select One). 

a. Gross Lease: The rent includes all operating expenses, property taxes, insurance, and maintenance costs. Tenant shall not be responsible for any additional charges, except utilities as specified in Section 7. 

• OR - 

b. Net Lease (e.g., NNN): In addition to the base rent, the Tenant shall pay its proportionate share of real estate taxes, property insurance, and common area maintenance (CAM). The specifics of these charges, including calculation and payment schedule, are outlined in Addendum A attached hereto (or include details in this section). 

Use And Compliance with Laws. 

a. The Premises shall be used only for the purpose stated above. The Tenant shall comply with all federal, state, and local laws, regulations, and ordinances applicable to the Tenant’s use of the Premises. 

b. The Tenant is responsible for obtaining and maintaining all necessary licenses, permits, or other approvals for its operations. 

Utilities And Services. 

a. Unless otherwise specified, the Tenant shall be responsible for arranging and paying for all utilities required for the Tenant’s operations, including electricity, gas, water, trash removal, internet, and telephone. 

b. The Landlord shall not be liable for any interruption of utility services beyond its reasonable control but shall use reasonable efforts to restore service if Landlord is contractually responsible. 

Maintenance And Repairs. 

a. The Tenant shall, at its own expense, keep the Premises in clean and orderly condition, and promptly make any non-structural repairs that are necessary due to the Tenant’s use or occupancy. 

b. The Landlord shall be responsible for structural repairs to the roof, foundation, and exterior walls (unless otherwise provided in a Net or Triple Net lease clause). 

c. Any alterations or improvements by the Tenant must receive prior written consent from the Landlord and shall comply with all applicable laws. 

Insurance. 

a. The Tenant shall maintain, at the Tenant’s expense, commercial general liability insurance with coverage of at least [Minimum Coverage Amount], naming the Landlord as an additional insured. 

b. If applicable (e.g., for Net or Triple Net leases), the Landlord shall maintain property insurance for the building’s structure, the cost of which may be partially or fully reimbursed by the Tenant as set forth in Section 5. 

c. Each Party hereby releases the other to the extent of any insurance coverage from any liability arising from property damage. 

Real Estate Taxes. 

a. Unless otherwise stated in Section 5, the Landlord shall pay all real estate taxes, assessments, and governmental charges against the Premises. 

b. For any Net lease arrangement, the Tenant’s proportionate share of such taxes or assessments shall be invoiced and paid per the schedule specified in Section 5 or an addendum to this Agreement. 

Assignment And Subletting. 

a. The Tenant shall not assign this Agreement or sublet any portion of the Premises without the Landlord’s prior written consent. 

b. Any unauthorized assignment or sublet shall be void and constitute a default under this Agreement. 

Default And Remedies. 

a. The Tenant shall be in default if the Tenant fails to pay rent or other charges when due, or if the Tenant breaches any material term or condition of this Agreement and fails to cure within [Cure Period, e.g., 10-15 days] after notice. 

b. Upon default, the Landlord may (i) terminate this Agreement; (ii) retake possession of the Premises; (iii) accelerate any unpaid rent for the remainder of the Term if permissible under state law; and (iv) pursue other remedies available at law or in equity. 

c. The Tenant shall be responsible for all legal fees, court costs, and other expenses incurred by the Landlord in enforcing the Tenant’s obligations, to the extent permitted by law. 

Damage Or Destruction. 

a. If the Premises are damaged or destroyed by fire or other casualty so that it becomes substantially unusable, the Landlord shall use insurance proceeds (if available) to repair the Premises within a reasonable time. 

b. If repairs cannot be completed within [Time Frame, e.g., 90 days], either Party may terminate this Agreement upon written notice. 

c. Rent shall be abated proportionately during the period in which the Premises remain untenantable, unless the damage is caused by the Tenant’s negligence or willful misconduct. 

Eminent Domain. 

a. If a governmental authority takes all or a substantial part of the Premises by eminent domain such that the Premises cannot be used for the Tenant’s purposes, this Agreement shall terminate upon the date of the taking. 

b. The Tenant shall have no claim against any award from the governmental authority except for any relocation benefits or other compensation specifically provided by law for the Tenant’s fixtures or personal property. 

Holding Over. 

If the Tenant remains in possession of the Premises beyond the expiration or termination of this Agreement without a written extension, such holding over shall be deemed a month-to-month tenancy subject to all the terms and conditions of this Agreement, except that rent shall be [Percentage/Amount] of the then-current rent, unless otherwise specified by law. 

Governing Law And Venue. 

This Agreement shall be governed by and construed in accordance with the laws of the State of [State]. Any legal action arising from this Agreement shall be filed in the state or federal courts located in [County/City], [State], and the Parties consent to the jurisdiction of such courts. 

Entire Agreement. 

This Agreement, including any addenda, constitutes the entire agreement between the Parties regarding the subject matter herein and supersedes all prior negotiations, representations, or agreements, whether written or oral. Any modifications must be in writing and signed by both Parties. 

Severability. 

If any provision of this Agreement is held invalid or unenforceable, the remaining provisions shall remain in full force and effect. 

Notices. 

Any notice required or permitted under this Agreement shall be in writing and shall be deemed properly given when delivered personally, sent by certified or registered mail, return receipt requested, or sent by a recognized courier service to the addresses set forth above (or as either Party may designate by notice). 

Signatures. 

IN WITNESS WHEREOF, the Parties hereto have executed this Commercial Lease Agreement on the dates indicated below. 

Landlord: 

[Landlord Name] 

Signature: ______________________________ 

Date: ______________________________ 

Tenant: 

[Tenant Name] 

Signature: ______________________________ 

Date: ______________________________