What is a Commercial Lease?
A commercial lease is the contract that is entered into when a landlord rents their property to a tenant for commercial use, i.e. to run their business. Such leases are required in a range of sectors, most commonly in the case of office, retail and industrial properties.
Since 2011, all commercial leases must now be registered with the Property Services Regulatory Authority. It is the responsibility of the tenant to provide a copy of their lease to the authority no more than 30 days following receipt of a stamp duty certificate.
Why Attend a Solicitor?
It is essential that both landlords and tenants attend a solicitor and get expert legal advice prior to entering a commercial lease. It is critical that both parties to the agreement fully comprehend the extent of their legal rights and obligations that exist from the moment this document is signed.
Commercial leases tend to be far more comprehensive that residential leases particularly where they are for a long-term rental. A well drafted commercial lease will balance the interests of both parties and ensure that any issues that do arise over the course of the tenancy can be dealt with quickly and efficiently.
Important Contractual Terms
Examples of important terms in commercial leases include;
- User of the property.
- Rent – rent review, late payment, arrears.
- Service charges.
- Responsibility for repairs.
- Liability for insurance.
- Alienation – assignment, sub-letting, licences.
- Break Clauses.
- Rights of renewal/renunciation.
- Termination of the tenancy.
Of course, the contents of commercial leases can vary hugely and we work closely with each individual client to ensure their particular interests are protected.
How Can We Help?
At Hoban Boino, our expert team will provide comprehensive legal advice to both landlords and tenants in respect of commercial leases, be it short term or long term. We can assist in all aspects of the transaction and provide the following services;
- Drafting Commercial Leases for Landlords.
- Reviewing Commercial Leases for tenants and carrying out the necessary enquires pre-signing.
If you are a landlord who requires a commercial lease or a tenant seeking legal advice prior to entering an agreement, please contact our office by phone or email and we will do our best to assist you.