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Lease negotiating points for commercial landlords

Added by Berlad Graham
February 22, 2023

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As a commercial landlord, there are several lease negotiation points to consider. Here are some of the most important factors to keep in mind:

  • Rent Amount: Make sure the rent amount is reasonable and reflective of market rent.
  • Lease Term: Determine how long you want the lease to last and negotiate an appropriate period of time.
  • Security Deposit: Ensure that you have enough protection in the event of tenant default or damage to the property.
  • Maintenance and Repairs: Discuss who is responsible for maintenance and repairs on the property.
  • Subletting/Assignment: Establish clear rules around subletting or assigning the lease.
  • Use: Specify the type of business activity or use of the property that is allowed or prohibited.
  • Exclusivity: Decide whether you will grant the tenant exclusivity rights to a specific type of business.
  • Insurance: Require that the tenant obtain necessary insurance coverage for the property.
  • Termination Clauses: Include provisions that allow you to terminate the lease if it is violated or the tenant defaults.

By keeping these lease negotiation points in mind, you can ensure that your commercial lease meets your needs as a landlord.

If you require further information in relation to this post, please contact our Commercial Property team on 0330 175 5655.


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