In some cases, you may own a commercial space where you want to rent it out. As with residential lease agreements, States may have different commercial rules and laws that you need to abide by. Below are free templates you can use to develop your commercial lease agreement based on your specific needs.
Free Printable Commercial Lease Agreement
What is a Commercial Lease Agreement?
A commercial lease is similar to a rental lease agreement you may sign to live in an apartment or rental house but is specifically designed for business property. It is a legally binding contract to lease retail, office or industrial space from an individual or company. The agreement give the renter the right to lease the property and operate their business from the lessor in exchange for payment.
Alternate commercial lease agreement terms:
- Office Space Lease
- Commercial Real Estate Lease
- Industrial Lease
- Business Lease
- Commercial Property Lease
Sample Commercial Lease Agreement
Length and Types of Commercial Leases
A typical commercial lease is around 3 to 5 years. This is significantly longer than residential leases and in some cases can be much longer. Depending on the commercial real estate market, some companies lease out more space and for longer periods of time if the price per sq ft is at a low point relative to past years.
As compared to residential leases, there are many different types of commercial leases that you don’t see on the apartment side. For example, a renter of commercial property can lease space on a periodic basis, also known as a periodic lease. This allows the tenant to lease the property on a weekly, monthly or seasonal basis. You see this a lot with seasonal businesses like halloween costume stores, Christmas tree lots and pumpkin patches.
There are also lease terms that can be added to automatically renew the agreement at a new pre agreed upon rental price and term. In some cases, you see these in agreements that may slowly increase the price per sq ft at renewal.
Another difference between residential and commercial lease agreements are terms that can be added called a triple-net lease agreement. In these agreements, the tenant is responsible for the cost of running the property. These expenses include but are not limited to build outs, taxes, building insurance, and common area maintenance.