When leasing commercial property in California, it is vital to have a clear and concise lease agreement to protect the interests of both the tenant and the landlord. However, how you draft the lease can indicate the success rate. Therefore, be sure to have precise guidelines and details of the property before the lease, know your rights as landlord and ensure all communication is in writing.
Make sure the terms of the lease are unambiguous
It is essential to eliminate any confusion about the leased properties, how long the lease terms are, and how much the lease is
monthly. For instance, if you are leasing a retail space, be sure to include the square footage in the lease agreement. Additionally, list any restrictions on how the tenant may use the property.
Include a detailed description of the property
It is essential to have a thorough and accurate description of the property getting leased. A detailed description will ensure no surprises down the road and give both parties a clear understanding of expectations.
When it comes to a commercial real estate lease, the devil is in the details. For instance, you will want to specify who is responsible for paying utilities, taxes and insurance. You will also want to detail who is responsible for maintaining the property. Before signing a lease, the landlord and tenant should iron out the important details.
Get everything in writing
Ensure all the lease terms are in writing and both parties sign off on them. Written agreements will help to avoid any disputes down the road. You may also want to have an attorney look over the lease agreement to ensure that everything is in order and that your interests are protected.
Know your rights
Be sure to educate yourself on the laws governing commercial leases in your state or country. Knowing your rights will help you draft a fair lease that protects your rights as a tenant or landlord. For instance, in some states, the landlord must repair the property if it falls into disrepair.
These are just a few tips to keep in mind when drafting a commercial lease agreement. Remember that while you may want to get the best deal possible, you must have a realistic expectation of what you can achieve with your lease agreement.