Commercial Lease Agreement Template

COMMERCIAL LEASE AGREEMENT

THIS COMMERCIAL LEASE AGREEMENT (the "Agreement") is made and entered into as of this [Day] day of [Month], [Year] (the "Effective Date"), by and between:

LANDLORD: [Landlord Entity Name], a [State/Jurisdiction] [Entity Type, e.g., Limited Liability Company], with its principal place of business at [Address] ("Landlord"), and

TENANT: [Tenant Entity Name], a [State/Jurisdiction] [Entity Type], with its principal place of business at [Address] ("Tenant").

RECITALS

WHEREAS, Landlord is the fee simple owner of the real property located at [Street Address, City, State, Zip Code] (the "Premises"); and WHEREAS, Landlord desires to lease the Premises to Tenant, and Tenant desires to lease the Premises from Landlord, subject to the terms and conditions set forth herein.

NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties agree as follows:

1. OPERATIONAL DEFINITIONS

1.1 "Base Rent" means the sum of $[Dollar Amount] per month, payable in advance on the first day of each month. 1.2 "Commencement Date" means [Date], or the date Tenant takes possession of the Premises, whichever occurs first. 1.3 "Operating Expenses" means all costs incurred by Landlord related to the ownership, operation, and maintenance of the Building, including utilities, insurance, taxes, and common area maintenance (CAM). 1.4 "Security Deposit" means the sum of $[Dollar Amount] to be held by Landlord as collateral for the performance of Tenant’s obligations. 1.5 "Term" means the period commencing on the Commencement Date and ending on [Expiration Date], unless terminated earlier pursuant to this Agreement.

2. SUBSTANTIVE TERMS & OBLIGATIONS

2.1 Grant of Lease. Landlord hereby leases the Premises to Tenant, and Tenant hereby leases the Premises from Landlord, for the Term, subject to the covenants and conditions herein. 2.2 Rent Payment. Tenant shall pay Base Rent without deduction or set-off. Payments not received within [Number] days of the due date shall incur a late fee of [Percentage]% of the overdue amount. 2.3 Use of Premises. Tenant shall use the Premises solely for [Permitted Use, e.g., professional office/retail] and for no other purpose without Landlord’s prior written consent. 2.4 Compliance with Laws. Tenant shall, at its sole cost, comply with all applicable federal, state, and local laws, ordinances, and regulations governing the Premises and Tenant’s operations. 2.5 Maintenance and Repairs. Tenant shall maintain the interior of the Premises in good, clean, and working condition. Landlord shall be responsible for structural repairs to the roof, foundation, and exterior walls.

3. DEFAULT, TERMINATION, AND REMEDIES

3.1 Events of Default. The occurrence of any of the following shall constitute a material breach: (a) Failure to pay Rent within [Number] days of notice of non-payment; (b) Breach of any non-monetary obligation remaining uncured for [30] business days after written notice; (c) Filing of bankruptcy or insolvency proceedings by or against Tenant. 3.2 Remedies. Upon an Event of Default, Landlord may: (a) Terminate this Agreement upon [Number] days’ written notice; (b) Re-enter and take possession of the Premises; (c) Recover all damages allowed by law, including unpaid Rent and costs of re-letting. 3.3 Cure Period. Except for non-payment of rent, Tenant shall be afforded [30] business days from the date of receipt of a written Notice of Default to cure such breach before Landlord initiates formal legal proceedings.

4. BOILERPLATE LEGAL PROVISIONS

4.1 Severability. If any provision of this Agreement is held to be invalid or unenforceable, the remaining provisions shall continue to be valid and enforceable to the fullest extent permitted by law. 4.2 Entire Agreement. This Agreement constitutes the entire understanding between the parties and supersedes all prior discussions, agreements, or understandings, whether written or oral. 4.3 Force Majeure. Neither party shall be liable for delays or failures in performance (excluding payment obligations) caused by events beyond their reasonable control, including acts of God, war, or government restrictions. 4.4 Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of [Jurisdiction], without regard to its conflict of law principles. 4.5 Dispute Resolution. Any dispute arising out of or relating to this Agreement shall be settled by binding arbitration in [City, State] in accordance with the rules of the American Arbitration Association.

5. FORMAL EXECUTION BLOCK

IN WITNESS WHEREOF, the parties have executed this Agreement as of the Effective Date.

LANDLORD:

Signature: ___________________________ Name: [Name of Signatory] Title: [Title] Date: ________________

TENANT:

Signature: ___________________________ Name: [Name of Signatory] Title: [Title] Date: ________________