California office lease agreement template
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How California office lease agreement Differ from Other States
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California imposes unique disclosure requirements, including earthquake fault zone and hazardous materials notifications not required in most states.
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Eviction and unlawful detainer procedures in California follow strict judicial timelines and tenant protections different from many other states.
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California limits security deposit amounts and mandates prompt itemized returns, while other states may allow more flexibility or fewer deadlines.
Frequently Asked Questions (FAQ)
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Q: Is a written lease required for office rentals in California?
A: While not always required, a written lease is highly recommended in California to clarify rights and obligations of both parties.
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Q: What disclosures must a landlord provide in a California office lease?
A: Landlords must disclose hazardous materials, asbestos, earthquake fault zones, and ADA compliance in most California office leases.
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Q: How much security deposit can a landlord request in California?
A: California law limits security deposits for commercial leases typically to an amount agreed by both parties, but always subject to negotiation.
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California Office Lease Agreement
This California Office Lease Agreement (the “Lease”) is made and entered into as of this [Date], by and between [Landlord's Full Legal Name], a [Landlord's Entity Type, e.g., California Corporation], with an address at [Landlord's Full Address] ("Landlord"), and [Tenant's Full Legal Name], a [Tenant's Entity Type, e.g., California Corporation], with an address at [Tenant's Full Address] ("Tenant").
1. Premises
The Landlord leases to the Tenant, and the Tenant leases from the Landlord, that certain premises (the “Premises”) located at [Property Address], Suite/Unit [Suite/Unit Number], consisting of approximately [Rentable Square Footage] rentable square feet on the [Floor Number] floor. The Premises are outlined on Exhibit A attached hereto.
The Premises shall include exclusive use of the leased space and non-exclusive use of the common areas, including but not limited to lobbies, restrooms, conference rooms, mailroom, elevators, parking (subject to the terms below), and service corridors.
- Option A: Tenant shall have the exclusive use of [Number] parking spaces located [Location of parking spaces].
- Option B: Parking shall be on a first-come, first-served basis.
The Landlord provides the following building amenities: [List of Amenities, e.g., Security Desk, 24/7 Access, HVAC Hours/Zones, Data/Telecom Risers, Bike Storage].
2. Use of Premises
The Premises shall be used solely for general office purposes and for no other use.
The Tenant shall not use the Premises for any of the following purposes: retail, storage, industrial, live-work, medical, cannabis, or laboratory use.
Tenant shall not handle any hazardous materials on the premises except for those typically found in an office setting (e.g. cleaning supplies, printer toner) and used in accordance with all applicable laws and regulations.
Tenant shall comply with all applicable city zoning ordinances, business license requirements, the Americans with Disabilities Act (ADA), the California Unruh Civil Rights Act, local energy efficiency statutes, and fire/life safety codes.
3. Subletting and Assignment
- Option A: Tenant shall not sublet the Premises or assign this Lease without the Landlord's prior written consent, which consent may be withheld in Landlord's sole discretion.
- Option B: Tenant shall not sublet the Premises or assign this Lease without the Landlord's prior written consent, which consent shall not be unreasonably withheld. Landlord shall have the right to recapture the Premises in the event Tenant requests consent to sublet or assign.
- If Landlord consents to a sublease or assignment, Tenant shall remain liable for all obligations under this Lease.
4. Lease Term
The initial term of this Lease shall be [Number] years, commencing on [Commencement Date] (the "Commencement Date") and expiring on [Expiration Date].
Tenant shall be given possession of the Premises on the Commencement Date, provided Landlord can furnish the space on time.
- Option A: Renewal Option: Tenant shall have the option to renew this Lease for one (1) additional term of [Number] years, provided Tenant gives Landlord written notice of its intent to renew at least [Number] days prior to the Expiration Date. The rent for the renewal term shall be [Rent Adjustment Terms, e.g., Fair Market Value, CPI Adjustment].
- Option B: No Renewal Option.
Holdover: If Tenant remains in possession of the Premises after the Expiration Date without a written agreement, such holdover shall be deemed a month-to-month tenancy, terminable upon [Number] days' written notice by either party. The rent during the holdover period shall be [Percentage]% of the then-current monthly rent.
5. Rent
The base monthly rent for the Premises shall be [Dollar Amount] ([Dollar Amount in Words] Dollars).
Tenant shall pay Landlord a security deposit in the amount of [Dollar Amount] ([Dollar Amount in Words] Dollars) in accordance with California Civil Code Section 1950.7. This deposit can be used for cleaning, repairs of damage, or unpaid rent after the tenant vacates.
Rent shall be payable in advance on the first day of each month, without demand or offset. Payments shall be made to Landlord at [Payment Address] via [Payment Method, e.g., Check, ACH, Wire].
Late Fee: If rent is not received within [Number] days of the due date, Tenant shall pay a late fee of [Dollar Amount or Percentage] or [interest rate]%, whichever is greater, as permitted by California law.
Returned Payment Fee: Tenant shall pay a fee of [Dollar Amount] for any returned payment.
- Option A: Gross Lease: Landlord shall be responsible for all property taxes, insurance, and common area maintenance (CAM) expenses. Tenant shall be responsible for its own utilities (electricity, water, gas, waste, internet) and janitorial services for the Premises.
- Option B: Triple-Net (NNN) Lease: Tenant shall be responsible for paying its pro-rata share of property taxes, insurance, and CAM expenses, in addition to the base rent. Tenant shall also be responsible for its own utilities (electricity, water, gas, waste, internet) and janitorial services for the Premises.
- The pro-rata share shall be calculated as the ratio of the rentable square footage of the Premises to the total rentable square footage of the Building.
- Landlord shall provide Tenant with an annual reconciliation of CAM expenses.
Escalation: The monthly rent shall increase as follows: [Detailed Escalation Schedule, e.g., Fixed Increases, CPI Adjustments].
6. Tenant Improvements
- Option A: Tenant Improvement Allowance: Landlord shall provide Tenant with a tenant improvement allowance of [Dollar Amount] to be used for alterations and improvements to the Premises.
- All alterations and improvements shall be subject to Landlord's prior written approval.
- Tenant shall be responsible for obtaining all necessary permits and complying with all applicable building codes, including Title 24.
- Option B: No Tenant Improvement Allowance.
All improvements made to the Premises shall become the property of the Landlord upon the expiration or termination of this Lease, unless otherwise agreed in writing.
Tenant will be responsible for any cost overruns.
7. Maintenance and Repair
Landlord shall be responsible for maintaining the structure, roof, elevators, plumbing, HVAC system (in compliance with California energy codes), and building safety of the Building.
Tenant shall be responsible for the day-to-day maintenance of the Premises, including but not limited to keeping the Premises clean and in good repair, and promptly reporting any necessary repairs to Landlord.
Landlord shall use commercially reasonable efforts to repair any interruption of essential services (e.g., HVAC, plumbing) within a reasonable time.
8. Rules and Regulations
Tenant shall comply with all rules and regulations established by Landlord from time to time, including but not limited to rules regarding signage, access control, hours of operation, moving in/out, and notification for business license registration or changes of occupancy.
9. Insurance and Indemnification
Tenant shall maintain commercial general liability insurance with minimum limits of [Dollar Amount] per occurrence and property insurance covering Tenant's personal property and improvements.
Tenant shall provide Landlord with certificates of insurance evidencing such coverage, naming Landlord as an additional insured.
To the fullest extent permitted by law, Tenant shall indemnify, defend, and hold Landlord harmless from and against any and all claims, losses, damages, liabilities, and expenses arising out of Tenant's use of the Premises or Tenant's breach of this Lease.
California Earthquake Disclosure: The Premises are located in an area known to be subject to earthquakes. Tenant acknowledges receipt of the California Earthquake Guide.
Landlord shall maintain insurance on the building to cover damage to the structure.
10. Default and Remedies
If Tenant fails to pay rent or otherwise breaches this Lease, Landlord shall have all remedies available at law or in equity, including but not limited to the right to terminate this Lease and recover possession of the Premises.
Landlord shall provide Tenant with written notice of any default and an opportunity to cure such default within [Number] days.
Landlord shall comply with all applicable California laws regarding eviction procedures.
11. Surrender of Premises
Upon the expiration or termination of this Lease, Tenant shall surrender the Premises to Landlord in good condition, broom clean, reasonable wear and tear excepted.
Tenant shall remove all of its personal property and trade fixtures from the Premises. Any property left behind shall be deemed abandoned and may be disposed of by Landlord.
Landlord shall return the security deposit to Tenant within [Number] days after Tenant surrenders the Premises, less any deductions for unpaid rent, cleaning, or repairs. An itemized list of deductions will be provided in accordance with California law.
12. Confidentiality
Tenant agrees to hold the terms of this Lease confidential and not to disclose them to any third party without Landlord's prior written consent.
13. Force Majeure
Neither party shall be liable for any failure to perform its obligations under this Lease if such failure is caused by a force majeure event, including but not limited to acts of God, war, terrorism, earthquakes, fire, flood, or other natural disasters. California specific disaster provisions should be included (e.g., earthquake preparedness).
14. Estoppel Certificate
Tenant shall, within [Number] days after request by Landlord, execute and deliver to Landlord an estoppel certificate certifying the status of this Lease.
15. Notices
All notices under this Lease shall be in writing and shall be deemed to have been duly given when delivered personally or sent by certified mail, return receipt requested, to the addresses set forth above.
16. Dispute Resolution
Any dispute arising out of or relating to this Lease shall be resolved through [Dispute Resolution Method, e.g., Mediation, Arbitration] in [City, California].
17. Entire Agreement
This Lease constitutes the entire agreement between the parties and supersedes all prior negotiations and understandings.
18. Amendments
This Lease may be amended only by a writing signed by both parties.
IN WITNESS WHEREOF, the parties have executed this Lease as of the date first written above.
Landlord:
____________________________
[Landlord's Printed Name]
[Landlord's Title]
[Landlord's Phone Number]
[Landlord's Email Address]
Tenant:
____________________________
[Tenant's Printed Name]
[Tenant's Title]
[Tenant's Phone Number]
[Tenant's Email Address]