A commercial lease refers to the lease of commercial property. It is a legally binding document between a business tenant and owner/ landlord for the rental of property. This includes but is not limited to:

  • Office space;
  • Industrial units;
  • Workshops and warehouses; and
  • Retail shops (whether they are within a shopping centre or not).

When negotiating a lease, the rights and obligations of both parties should be on the table for negotiation. Some of the key requirements in lease negotiations are:

  • Terms of Lease – generally the tenure of the lease;
  • Preliminary Documentation – it includes an agreement to lease, a lease incentive or contribution deed; and
  • Dispute Resolution – it includes options such as informal negotiation, mediation or litigation.

In addition to rental costs, there are a number of costs to be borne by the tenant, including:

  • Security bond;
  • Council rate;
  • Insurance cost;
  • Legal cost (lease preparation in some cases and costs on default); and
  • Repairs and maintenance.

Please contact us if you require assistance with a commercial lease.

Commercial Leases