Understanding the Intricacies of Commercial Lease Agreements
Things To Look Out For In Commercial Lease Agreements
Leasing a commercial property can be quite a bit more complicated than renting an apartment. You will need to look more closely at the fine print, and there will be a lot more issues to consider when reviewing or creating the document. It’s important that you work with one of the best Gilbert business attorneys you can find to review your lease agreements and ensure that your rights and interests are protected. Taking that step at the beginning will save you a lot of time and money later if you have any disputes over the lease.
Here are some of the things you’ll need to consider with commercial lease agreements,whether you are the one looking to lease a property or you are the owner looking for a tenant:
Agreements are Custom
There is no one-size-fits-all agreement for commercial leases. Landlords typically create these agreements from scratch with the help of business lawyers. They can make these agreements as intricate as they like. Therefore, there is wide variety in these agreements and how effective they can be. Without the right legal assistance, it is very easy for landlords to overlook important details that should be included, or for tenants to sign off on items they should not accept.
Landlords for larger properties may reuse agreements, or they may decide to create new agreements for each tenant, depending on the use of the space or the type of tenant. If you are a landlord, it is important to work with a business attorney in Gilbert to prepare the right agreement. If you are a tenant, it is important to have legal counsel so you understand your rights and responsibilities under the lease and can make appropriate changes.
What Changes Can be Made
Some tenants may need to make changes to the space to meet the needs of their business. As a landlord, you will need to be very clear about what changes can be made, what changes are prohibited, and what changes would incur financial or other penalties. As a tenant, you will need to review the contract for these terms and to ensure that they meet your needs for the space. You may be able to negotiate the terms to get what you need.
As always, working with business lawyers on both sides of the contract is essential for ensuring that the lease best protects your interests.
What Other Services are Included in the Lease
Some leases will be for the rental of the space alone. Some leases will include things like electricity, phone service, CAM charge (for Common Area Maintenance), Internet, or many others. Make sure you are clear about what will be included when you are drawing up the lease. Also be sure you know what is included when you are reviewing the lease so that you don’t have any surprise expenses.
Terms for Tenant Lock-Out
Not all tenants pay the rent as agreed. Some may run into financial trouble and be unable to pay, and some may simply refuse to pay because they are unhappy about something that is happening with the property. Terms for locking out delinquent tenants should be clearly spelled out in the lease agreement.
Landlords will need business attorneys to help them define these terms to ensure that they are protected in case tenants default. Tenants will also need Gilbert business attorneys to help them put the right terms into the agreement to give them an out if they have justifiable cause to end the agreement.
Lease agreements can be complex, as can contracts to buy commercial property. There is much more to consider with commercial properties, and you need a good Gilbert business attorney to help you think through all the issues and to ensure that your rights are protected.
The business attorneys at Denton Peterson Dunn are ready to help. We can review your tenant agreement to ensure that all your interests are protected both during the course of the lease and in the event that you have a problem with the landlord. We can also help landlords to create commercial leases that will be easily enforceable and that will provide protection in case of a dispute or breach. We serve clients throughout the Phoenix area. Call our office today to schedule a consultation with one of our real estate attorneys and learn more about your options.