Commercial Lease Agreement
Customized Agreements
Commercial Lease Agreement
Lease business premises through a gross, modified-gross, or net structure with a fully reconciled rent and expense model, coordinated delivery and buildout, component-level operating responsibility, risk and transfer terms, calendared options, lawful notice sources, and measurable surrender obligations.
Also called: commercial property lease agreement, modified gross lease agreement, net lease agreement.
What you walk away with
A clean multi-page PDF and DOCX after you finish — not a web-form dump. Preview the document before you pay.
- PDF export
- DOCX export
- E-sign included
- No subscription
Commercial rent, qualified-small-tenant protections, deposits, entry, notices, defaults, cure, abandonment, possession, mitigation, liens, environmental conditions, accessibility, casualty, condemnation, options, guaranties, holdover, and surrender rules vary by governing state, locality, tenant type, premises, use, transaction, and actual conduct.
Jurisdiction details
See how this document starts in your state
Choose the state where the document will be used. The state page shows the maintained coverage level, local-rule limits, and a builder link with the canonical state code already selected.
When this fits
Use this document when…
- An office, retail, warehouse, studio, clinic, service, or light-industrial lease
- A modified-gross lease requiring precise included-cost and pass-through boundaries
- A net lease requiring tenant-share, estimate, reconciliation, audit, and capital-cost controls
- A buildout lease where delivery, permits, allowance, completion, delay, possession, and rent start must align
Before you start
Information you will need
- Landlord, tenant, property, premises, area, plan, permitted use, jurisdictions, possession, commencement, term, and outside dates
- Gross, modified-gross, or net rent structure; base rent; increases; operating costs; share; base year; taxes; insurance; utilities; deposits; estimates; reconciliation; and audit
- Delivery condition, due diligence, permits, work, allowance, alterations, liens, signage, access, parking, common areas, and services
- Maintenance, repair, replacement, capital work, compliance, accessibility, environmental conditions, hazardous materials, insurance, indemnity, casualty, and condemnation
- Assignments, subleases, change of control, lender cooperation, estoppels, SNDAs, renewal and space options, separate-guaranty reference, defaults, source-based notice periods, holdover, surrender, and final accounting
What you receive
- One customized Commercial Lease Agreement
- Exhibit A premises, building, parking, and common areas
- Exhibit B base rent, escalations, and recurring charges
- Exhibit C operating cost, tax, insurance, utility, and reconciliation allocation
- Exhibit D delivery, due diligence, permits, work, allowance, and commencement
- Exhibit E maintenance, repair, replacement, services, compliance, and environmental responsibilities
- Exhibit F renewal, expansion, offer, refusal, and other options
- Exhibit G holdover, surrender, final accounting, return, and transition
- PDF and DOCX export with electronic signature capability
Document questions
Questions about this document
What is a Commercial Lease Agreement?
Lease business premises through a gross, modified-gross, or net structure with a fully reconciled rent and expense model, coordinated delivery and buildout, component-level operating responsibility, risk and transfer terms, calendared options, lawful notice sources, and measurable surrender obligations.
How do I create a Commercial Lease Agreement?
An office, retail, warehouse, studio, clinic, service, or light-industrial lease; A modified-gross lease requiring precise included-cost and pass-through boundaries; A net lease requiring tenant-share, estimate, reconciliation, audit, and capital-cost controls
What should a Commercial Lease Agreement include?
Landlord, tenant, property, premises, area, plan, permitted use, jurisdictions, possession, commencement, term, and outside dates; Gross, modified-gross, or net rent structure; base rent; increases; operating costs; share; base year; taxes; insurance; utilities; deposits; estimates; reconciliation; and audit; Delivery condition, due diligence, permits, work, allowance, alterations, liens, signage, access, parking, common areas, and services; Maintenance, repair, replacement, capital work, compliance, accessibility, environmental conditions, hazardous materials, insurance, indemnity, casualty, and condemnation; Assignments, subleases, change of control, lender cooperation, estoppels, SNDAs, renewal and space options, separate-guaranty reference, defaults, source-based notice periods, holdover, surrender, and final accounting
Special situations
- Gross, modified-gross, and net branches assign every occupancy cost once so the same item is not embedded in base rent and separately passed through.
- Possession, lease commencement, rent commencement, opening, substantial completion, outside date, expiry, and option periods are separately triggered and then reconciled.
- Accessibility and other compliance work and cost are allocated between the parties while recognizing that a lease allocation does not erase external duties.
- Default and cure periods use the customer-supplied or applicable-law source for each event instead of residential assumptions or a universal national period.
Frequently asked questions
How do gross, modified-gross, and net leases differ?
The chosen structure determines which cost categories are included, paid directly, or passed through. Exhibit C assigns every category once and states the calculation.
Does it handle annual operating-cost reconciliation?
Yes, when selected. Estimates, statements, actuals, credits, shortfalls, corrections, records, audit, and final-year treatment are all defined.
Does it coordinate tenant improvements with rent commencement?
Yes. The work exhibit connects plans, permits, allowance, changes, completion, delay, possession, commencement, and rent consequences.
Does it use residential notice rules?
No. It records the customer-supplied or applicable-law source for each commercial default, cure, entry, abandonment, rent-change, option, and termination event.
Is a personal guaranty included?
No. If selected, the lease references a separately executed guaranty and records its delivery and scope reference without silently creating one.
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Not legal advice
Locke Direct helps structure documents and workflows. It does not replace a qualified lawyer for complex, unusual, or high-risk situations.
Last reviewed August 2, 2026.