Understanding Basic Commercial Real Estate Lease Sections

Share This Article

Do you know what commercial real estate lease clauses to include a commercial real estate lease agreement? Learning basic commercial real estate lease clauses will help you structure a commercial real estate lease agreement correctly. You should include preliminary clauses in your lease agreement that do the following:

• Describe the premises

• Specify the lease term

• Indicate the rental or lease payment amount

Many times, you will be dealing with a five-year lease. Therefore, you need to explain in the lease, how rental increments will happen every year over the period of the lease. You could also include supplementary tenant conduct, indicating what occupants can or cannot do.  

This is where you would specify whether they could assign the lease, sublease it, or limit it to sub-leasing (subject to landlord's approval). You can navigate to https://propertyhq.com.au/ website to get more information on Real Estate.

Signage

If you have a sign that is not well anchored and a storm comes along and tears off chunks of glass or plastic, these can become deadly bullets. Hence, you get into a lot of code issues about how signage has to be constructed, type of materials, and other similar issues. So, in your lease, you must ensure that it includes a clause that specifies that no signs can be erected on the property without:

1. Landlord approval

2. Proper permitting through the local county officers or local city officers, so that signs meet code and conform to local rules and regulations.