Whether you’re a landlord looking for a tenant for a commercial building or a business without a location, understanding what a commercial lease is and how it works is essential to protecting yourself. However, with different types of agreements, complex legal terminology, and finances on the line, you may be hesitant to sign a lease. Luckily, you can invest in the help of an Austin, Texas commercial leasing lawyer to help you navigate this process. Keep reading to learn how an attorney can help you with your commercial leasing needs.
What Is a Commercial Lease?
When you want to lease real estate for commercial use, either as a landlord or tenant, you’ll need to sign a lease agreement. This details the terms and conditions of renting the space for business operations. It is a legally binding document that is often much more complex and nuanced than residential leasing agreements.
There is a significant amount of information in these documents, including, but not limited to, the following terms and conditions:
- The names, addresses and other basic information of both parties
- A precise description and other information about the property
- The length of the lease and any renewal or expansion terms
- Available utilities, maintenance obligations and other operating concerns
- How the business may use the space they are leasing
- Guidelines surrounding what renovations and changes are permitted
Your agreement may also include information such as additional rent to cover parking, any periods of rent abatement and other rent concessions, a non-competition clause, and what happens if the building suffers a casualty. Frequently there also are important provisions relating to the initial work that will need to be done to prepare the space for the tenant’s occupancy.
What Can an Attorney Do?
Tenants and landlords alike can benefit from enlisting the help of an experienced attorney to negotiate the terms of a commercial lease agreement. Unfortunately, each side has the goals of keeping costs low and minimizing their own risk. As such, they will have very different ideas about what the lease should say in a multitude of provisions, all of which will need to be assessed in a holistic way to make sure all the terms work together and achieve the party’s goals. Changing one provision without understanding how it affects other parts of the lease can end up costing you thousands of dollars in the long term.
If you are unfamiliar with leasing laws and terminology, some of the nuances and interplay between various provisions of the lease may not be obvious to you. Once you sign a lease, it can be near impossible to break the lease without spending a considerable amount of money.
Instead, the time to pay close attention to the details of the lease is before signing, and a commercial leasing lawyer will ensure that your agreement is legally enforceable, negotiate the terms of the document, review insurance requirements, and ensure the responsibilities of landlords and tenants are clear and appropriate for the circumstances. Without the help of a competent and experienced attorney, you may later discover that you have entered into a lease that undermines your chances of success.
Whether you’re a landlord looking for a company to fill a commercial space or a business looking for your next location, PropLaw can help you navigate the complexities of commercial leasing. Our dedicated legal team can help you navigate the process of negotiating and signing a commercial lease agreement to ensure that you have a seat at the negotiating table and that your interests are protected and the contract is fair. Contact us today to learn more about how we can help you.