Indiana commercial lease agreement template

Indiana Commercial Lease Agreement

This Commercial Lease Agreement (the "Lease") is made and effective as of this [Date of Signing], by and between [Landlord's Full Legal Name] ("Landlord"), whose address is [Landlord's Address], and [Tenant's Full Legal Name] ("Tenant"), whose address is [Tenant's Address].

If the Landlord is not the owner of the property, the property owner is [Property Owner Name] residing at [Property Owner Address].

Premises:

Option A: Landlord hereby leases to Tenant, and Tenant hereby leases from Landlord, the premises located at [Street Address], [Unit/Suite Number], [City], Indiana, [Zip Code], legally described as [Legal Description] (the "Premises").

Option B: Landlord hereby leases to Tenant, and Tenant hereby leases from Landlord, a portion of the building located at [Street Address], [City], Indiana, [Zip Code], consisting of approximately [Rentable Square Footage] square feet, which is depicted on Exhibit A attached hereto and incorporated herein by reference (the "Premises").

Delivery Condition:

Option A: As-is.

Option B: Broom Clean.

Tenant shall also have the right to use the following common areas: [Description of Common Areas].

Permitted Use:

Tenant shall use the Premises solely for the purpose of [Description of Permitted Use(s)], and for no other purpose without the prior written consent of Landlord. This use must comply with all applicable Indiana zoning ordinances.

Lease Term:

Option A: Fixed Term: The term of this Lease shall commence on [Start Date] and shall expire on [End Date].

Option B: Renewal: This Lease shall automatically renew for successive [Number] year term(s) unless either party provides written notice of termination to the other party at least [Number] days prior to the end of the then-current term.

Option C: Early Termination: Tenant shall have the option to terminate this Lease early by providing Landlord with [Number] days written notice and paying a termination fee of [Dollar Amount].

Holdover: If Tenant remains in possession of the Premises after the expiration or termination of this Lease, such occupancy shall be deemed a month-to-month tenancy, terminable upon [Number] days' notice by either party, and the rent shall be increased to [Percentage]% of the then-current rent.

Rent:

The base rent for the Premises shall be [Dollar Amount] per [Month/Year], payable in advance on the [Day] day of each [Month/Year], commencing on [Start Date].

Payment Method: Rent shall be paid by [Payment Method, e.g., check, wire transfer] to Landlord at [Payment Address].

Late Fees: If rent is not received within [Number] days of the due date, a late fee of [Dollar Amount] shall be charged.

Returned Check Fee: A fee of [Dollar Amount] will be charged for any returned check.

Security Deposit: Tenant shall deposit with Landlord a security deposit of [Dollar Amount], which shall be held by Landlord as security for the performance of Tenant's obligations under this Lease. The security deposit, less any deductions for damages, unpaid rent, or other amounts owed by Tenant, shall be returned to Tenant within [Number] days after the termination of this Lease and Tenant's surrender of the Premises. Landlord will comply with Indiana statutes regarding security deposit holding and return.

Additional Rent (Triple Net – NNN):

Option A: Gross Lease: Tenant shall not be responsible for any additional rent beyond the base rent. Landlord shall pay all property taxes, insurance, maintenance, and operating expenses related to the Premises.

Option B: Net Lease (NNN): In addition to the base rent, Tenant shall pay its pro rata share of the following expenses (collectively, "Operating Expenses"):

Property Taxes: [Percentage]% of the real property taxes assessed against the Building.

Insurance: [Percentage]% of the cost of insuring the Building.

Maintenance: [Percentage]% of the cost of maintaining the Building, including common areas.

Operating Expenses: [Percentage]% of other operating expenses, including common area maintenance (CAM) charges.

Utilities: [Specify which utilities Tenant is responsible for].

Maintenance and Repairs:

Option A: Landlord Responsibility: Landlord shall be responsible for maintaining the structural components of the Premises, including the roof, foundation, and exterior walls, as well as the common areas.

Option B: Tenant Responsibility: Tenant shall be responsible for maintaining the interior of the Premises, including all fixtures, equipment, and improvements.

Repair Requests: Tenant shall notify Landlord promptly of any needed repairs. Landlord shall commence repairs within [Number] days of receiving notice and diligently pursue completion of the repairs.

Alterations: Tenant shall not make any alterations to the Premises without the prior written consent of Landlord. Any improvements or fixtures installed by Tenant shall become the property of Landlord upon the termination of this Lease, unless otherwise agreed in writing.

Compliance with Laws:

Tenant shall comply with all federal, state (including Indiana), and local laws, ordinances, rules, and regulations applicable to the Premises and Tenant's use thereof, including but not limited to zoning ordinances and health and safety codes.

Insurance:

Tenant shall maintain, at its own expense, the following insurance coverage:

Commercial General Liability Insurance: [Dollar Amount] per occurrence.

Property Insurance: Covering the full replacement cost of Tenant's personal property and improvements.

Business Interruption Insurance: Adequate to cover lost profits and expenses during any period of interruption.

Landlord shall be named as an additional insured on Tenant's Commercial General Liability policy. Tenant shall provide Landlord with certificates of insurance upon request.

Landlord shall maintain insurance on the building structure, including fire and extended coverage.

Indemnification:

Option A: Mutual Indemnification: Each party shall indemnify, defend, and hold harmless the other party from and against any and all claims, losses, damages, liabilities, costs, and expenses (including attorney's fees) arising out of or relating to its negligence or willful misconduct.

Option B: Tenant Indemnification: Tenant shall indemnify, defend, and hold harmless Landlord from and against any and all claims, losses, damages, liabilities, costs, and expenses (including attorney's fees) arising out of or relating to Tenant's use of the Premises or Tenant's negligence or willful misconduct.

Subletting and Assignment:

Option A: No Subletting or Assignment: Tenant shall not sublet the Premises or assign this Lease without the prior written consent of Landlord, which consent may be withheld in Landlord's sole discretion.

Option B: Subletting and Assignment with Consent: Tenant may sublet the Premises or assign this Lease with the prior written consent of Landlord, which consent shall not be unreasonably withheld. Landlord shall have [Number] days to respond to Tenant's request for consent.

Assignment due to Sale or Merger: This lease may be assigned by Landlord due to sale or merger of the property.

Right of First Refusal: Landlord shall have the right of first refusal if Tenant wishes to sublease or assign.

Right of Recapture: Landlord shall have the right to recapture the Premises if Tenant wishes to sublease or assign.

Entry and Inspection:

Landlord shall have the right to enter the Premises at reasonable times for the purpose of inspection, maintenance, or repairs, upon providing Tenant with at least [Number] hours' notice, except in cases of emergency.

Emergency entry is permitted without prior notice.

Unlawful entry will result in [Consequences, e.g., fines, legal action].

Default and Remedies:

Tenant Default: The following shall constitute a default by Tenant:

Failure to pay rent when due.

Failure to comply with any other term or condition of this Lease.

Abandonment of the Premises.

Filing for bankruptcy or insolvency.

Cure Period: Tenant shall have [Number] days to cure any default, except for nonpayment of rent, which shall have a cure period of [Number] days.

Landlord Remedies: Upon Tenant's default, Landlord shall have the following remedies:

Termination of this Lease.

Lockout of Tenant.

Recovery of all damages, including unpaid rent, costs of re-letting, and attorney's fees.

Re-letting the Premises.

Landlord Default: The following shall constitute a default by Landlord:

Failure to maintain the premises as required in this lease.

Failure to comply with any other term or condition of this Lease.

Tenant Remedies: Upon Landlord's default, Tenant shall have the following remedies:

Termination of this Lease.

Legal action for specific performance or damages.

Self-help, with the right to deduct the cost of repairs from rent (subject to limitations).

Surrender and Restoration:

Upon the expiration or termination of this Lease, Tenant shall surrender the Premises to Landlord in the same condition as received, ordinary wear and tear excepted.

Tenant shall remove all of its personal property and trade fixtures from the Premises. Any property left behind shall become the property of Landlord.

Tenant shall restore the Premises to its original condition, unless otherwise agreed in writing.

Surrender Date Definition: [Define what constitutes surrender, e.g., keys returned, premises vacated].

Eminent Domain/Condemnation:

If the Premises or any portion thereof is taken by eminent domain or condemnation, this Lease shall terminate as of the date of the taking.

Any award for the taking shall be distributed as follows: [Distribution of Awards].

Tenant shall have the right to terminate this Lease if a substantial portion of the Premises is taken.

Destruction/Casualty:

If the Premises are damaged or destroyed by fire or other casualty, Landlord shall have the option to either rebuild the Premises or terminate this Lease.

If Landlord elects to rebuild, rent shall abate during the period of restoration.

Insurance claim handling will be conducted by [Party responsible for insurance claim].

Signage:

Tenant shall have the right to install signage on the Premises, subject to Landlord's approval and compliance with all applicable local ordinances.

Landlord's approval requirements are [Signage Approval Requirements].

Tenant shall remove all signage upon the termination of this Lease.

Notices:

All notices under this Lease shall be in writing and shall be deemed to have been duly given when delivered personally, sent by certified mail, return receipt requested, or sent by reputable overnight courier service to the addresses set forth above.

Electronic communication options: [Specify if email or other electronic methods are acceptable for notices].

Required notice periods must comply with Indiana method of service.

Dispute Resolution:

Option A: Litigation: Any dispute arising out of or relating to this Lease shall be resolved in the courts of [County] County, Indiana.

Option B: Mediation: Any dispute arising out of or relating to this Lease shall be submitted to mediation in [City], Indiana, before resorting to litigation or arbitration.

Option C: Arbitration: Any dispute arising out of or relating to this Lease shall be resolved by binding arbitration in accordance with the rules of the American Arbitration Association.

Jury Waiver: Both parties hereby waive their right to a jury trial in any action arising out of or relating to this Lease.

Governing Law:

This Lease shall be governed by and construed in accordance with the laws of the State of Indiana.

Severability:

If any provision of this Lease is held to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.

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, strikes, fire, flood, or other casualty.

Indiana-specific public health or emergency exceptions: [Specify any specific clauses related to public health emergencies in Indiana].

Estoppel Certificate:

Tenant shall, within [Number] days of Landlord's request, execute and deliver to Landlord an estoppel certificate confirming the terms of this Lease and stating whether or not Tenant is in default.

Landlord will provide a similar certification within [Number] days upon tenant's request for refinancing purposes.

Successors and Assigns:

This Lease shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.

Options to Renew, Extend, or Purchase:

Option A: Renewal Option: Tenant shall have the option to renew this Lease for an additional term of [Number] years, provided that Tenant gives Landlord written notice of its intent to renew at least [Number] days prior to the expiration of the initial term. The rent for the renewal term shall be [Dollar Amount] or determined by [Rent Adjustment Methodology].

Option B: Purchase Option: Tenant shall have the option to purchase the Premises at any time during the term of this Lease for a price of [Dollar Amount].

Guaranty:

Option A: Personal Guaranty: [Guarantor's Full Legal Name], residing at [Guarantor's Address], hereby personally guarantees the performance of Tenant's obligations under this Lease.

Option B: Corporate Guaranty: [Guarantor's Corporate Name], with its principal place of business at [Guarantor's Corporate Address], hereby guarantees the performance of Tenant's obligations under this Lease.

Scope and Duration: [Specify the scope and duration of the guarantee].

Environmental/Hazardous Substances:

Tenant shall comply with all applicable environmental laws and regulations, including Indiana's environmental rules.

Tenant shall not use, store, or dispose of any hazardous substances on the Premises without the prior written consent of Landlord.

Tenant shall indemnify Landlord for any damages or liabilities arising out of Tenant's use of hazardous substances on the Premises.

Disclosure Requirements: [Specify any required disclosures regarding environmental conditions on the property].

Americans with Disabilities Act (ADA):

Option A: Landlord shall be responsible for complying with the ADA.

Option B: Tenant shall be responsible for complying with the ADA.

Option C: The parties shall share responsibility for complying with the ADA, as follows: [Detailed Cost-Sharing and Responsibility Description].

Parking:

Tenant shall be entitled to [Number] parking spaces at the Premises.

The parking spaces shall be [Reserved/Unreserved].

The fee for parking shall be [Dollar Amount] per [Month/Year].

Maintenance responsibility for parking areas: [Landlord/Tenant].

Rules and Regulations:

Tenant shall comply with the rules and regulations attached hereto as Exhibit B, which may be amended by Landlord from time to time.

Future changes to the rules and regulations will be communicated to tenant at least [number] days in advance.

Tenant acknowledges receipt of the current rules and regulations.

Security/Access Control:

Landlord is responsible for providing building-wide security. Tenant is responsible for maintaining security within its leased premise.

Alarm System responsibility: [Landlord/Tenant].

Security camera installation permissions and responsibilities: [Landlord/Tenant].

Key responsibility: [Specify key distribution, replacement procedures, and security protocols].

Broker Disclosure:

[Broker's Name] represented Landlord in this transaction, and [Broker's Name] represented Tenant in this transaction.

Commission Payment Responsibilities: [Specify who is responsible for paying the broker's commission].

Indiana Licensing Notice: Brokers are licensed in the State of Indiana.

Commission Protection Period: [Specify the period during which the broker's commission is protected].

Waiver/Modification:

No waiver of any provision of this Lease shall be effective unless in writing and signed by the party against whom the waiver is sought to be enforced.

No modification of this Lease shall be effective unless in writing and signed by both parties.

Required Disclosures:

[Lead-Based Paint Disclosure (if property built before 1978)] (Attached as Exhibit C).

[Environmental Hazards Disclosure] (Attached as Exhibit D).

[Asbestosis Notification] (Attached as Exhibit E).

Bankruptcy/Insolvency:

[Specify provisions related to bankruptcy or insolvency of the tenant, e.g., termination rights, limitations on assignment].

Miscellaneous:

Counterpart Execution: This Lease may be executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.

Entire Agreement: This Lease constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior or contemporaneous communications and proposals, whether oral or written.

Authority of Signatories: Each party represents and warrants that it has the full right, power, and authority to enter into this Lease and to perform its obligations hereunder.

Representation/Warranties of Power to Contract: Each signatory warrants that they have the capacity and authority to bind the party on whose behalf they are signing.

IN WITNESS WHEREOF, the parties have executed this Lease as of the date first written above.

Landlord:

____________________________

[Landlord's Signature]

[Landlord's Printed Name]

Tenant:

____________________________

[Tenant's Signature]

[Tenant's Printed Name]