Kansas commercial lease agreement template
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How Kansas commercial lease agreement Differ from Other States
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Kansas commercial leases are not subject to landlord-tenant laws that regulate residential properties, allowing greater negotiation flexibility.
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Unlike some states, Kansas law does not require commercial landlords to mitigate damages if a tenant abandons the premises.
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Kansas does not mandate disclosure of environmental hazards in commercial leases unless specifically negotiated or requested by the tenant.
Frequently Asked Questions (FAQ)
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Q: Is a written lease required for commercial properties in Kansas?
A: While not legally required, a written lease is strongly advised to clearly outline both parties’ rights and obligations.
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Q: What notice is required to terminate a commercial lease in Kansas?
A: The notice required depends on lease terms. If unspecified, Kansas generally requires at least 30 days’ written notice.
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Q: Are security deposit limits set by law for Kansas commercial leases?
A: No, Kansas law does not set limits for security deposits in commercial leases. Terms are decided by agreement.
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Kansas Commercial Lease Agreement
This Commercial Lease Agreement ("Agreement") is made and effective as of this [Date], by and between [Landlord Name], whose address is [Landlord Address] ("Landlord"), and [Tenant Name], whose address is [Tenant Address] ("Tenant").
If applicable, [Property Manager Name], whose address is [Property Manager Address] ("Property Manager") is acting as the Landlord's agent.
Parties
- Option A: Landlord is an individual.
- Option B: Landlord is a corporation.
- Option C: Landlord is a limited liability company.
- Option D: Tenant is an individual.
- Option E: Tenant is a corporation.
- Option F: Tenant is a limited liability company.
The Landlord and Tenant agree as follows:
Leased Premises
- Landlord hereby leases to Tenant, and Tenant hereby leases from Landlord, the premises located at [Property Address], legally described as [Legal Description], and commonly known as Suite/Unit [Suite Number] ("Premises").
- The Premises includes the following areas: [List specific areas included, e.g., main floor, basement].
- The Premises excludes the following areas: [List specific areas excluded, e.g., roof, storage room].
- Option A: Common areas are defined as [Description of Common Areas]. Tenant shall have the right to use the common areas in common with other tenants.
- Option B: Parking area is defined as [Description of Parking Area]. Tenant shall have [Number] parking spaces.
- Option C: Amenities: Tenant shall have access to the following amenities: [List of Amenities, e.g., gym, conference room].
Permitted Use
- The Premises shall be used and occupied by Tenant solely for the purpose of [Description of Permitted Use, e.g., retail sales, office space, restaurant].
- Tenant shall not use the Premises for any unlawful purpose.
- Tenant shall comply with all applicable zoning laws and local ordinances.
- Use Restrictions: [List any use restrictions, e.g., no overnight stays, no hazardous materials].
Lease Term
- The term of this Lease shall commence on [Start Date] and shall expire on [End Date], unless sooner terminated as provided herein.
- Option A: Renewal Option: Tenant shall have the option to renew this Lease for [Number] additional term(s) of [Length of Renewal Term], provided Tenant gives Landlord written notice of its intent to renew at least [Number] days prior to the expiration of the then-current term.
- Option B: Extension Option: Tenant shall have the option to extend this Lease for [Number] additional term(s) of [Length of Extension Term], provided Tenant gives Landlord written notice of its intent to extend at least [Number] days prior to the expiration of the then-current term.
Possession and Delivery
- Landlord shall deliver possession of the Premises to Tenant on or before the Commencement Date.
- Option A: Early Occupancy: If Tenant occupies the Premises prior to the Commencement Date, Tenant shall pay rent at the rate of [Dollar Amount] per day.
- Option B: Holdover: If Tenant remains in possession of the Premises after the expiration of the Lease Term, Tenant shall be a tenant at will, subject to all the terms and conditions of this Lease, and shall pay rent at a rate equal to [Percentage]% of the Base Rent.
- Option C: Delayed Possession: If Landlord is unable to deliver possession of the Premises on the Commencement Date, rent shall be abated until possession is delivered. If possession is not delivered within [Number] days of the Commencement Date, Tenant may terminate this Lease.
Rent and Payment
- Tenant shall pay Landlord a base rent of [Dollar Amount] per month ("Base Rent").
- Rent shall be payable in advance on the [Day] day of each month, commencing on the Commencement Date.
- Rent shall be paid to Landlord at [Payment Address] or such other place as Landlord may designate in writing.
- Acceptable forms of payment include: [List Acceptable Forms of Payment, e.g., check, electronic transfer].
- Late Fee: If rent is not received by Landlord within [Number] days of the due date, Tenant shall pay a late fee of [Dollar Amount] or [Percentage]% of the overdue amount, whichever is greater, but not to exceed the maximum allowable late fee under Kansas law.
- Option A: Rent Increases (Escalations): The Base Rent shall increase by [Percentage]% per year, commencing on the [Date] of each year.
- Option B: Percentage Rent: In addition to Base Rent, Tenant shall pay Landlord [Percentage]% of Tenant's gross sales exceeding [Dollar Amount] per year.
- Option C: Gross Lease: The Base Rent includes all operating expenses.
- Option D: Net Lease: Tenant shall be responsible for paying a proportionate share of property taxes, insurance, and maintenance expenses.
Other Financial Responsibilities
- Option A: Taxes: [Landlord/Tenant] shall pay all real property taxes and assessments levied against the Premises.
- Option B: Insurance: [Landlord/Tenant] shall maintain insurance on the Premises.
- Option C: Utilities: Tenant shall pay for all utilities used in the Premises, including but not limited to electricity, gas, water, and sewer.
- Option D: Maintenance and Repairs: [Landlord/Tenant] shall be responsible for maintaining and repairing the Premises, except as otherwise provided in this Lease.
- Option E: Common Area Maintenance (CAM) Charges: Tenant shall pay its proportionate share of CAM charges, as determined by Landlord.
- CAM charges include: [List items included in CAM, e.g., landscaping, snow removal].
- Option F: Operating Expenses: [Landlord/Tenant] shall pay operating expenses for the Premises.
- Operating Expenses include: [List items included in operating expenses].
- Option G: Gross Lease: Landlord pays all listed expenses.
- Option H: Modified Gross Lease: Landlord pays some and Tenant pays some of the listed expenses.
Security Deposit
- Tenant shall deposit with Landlord a security deposit in the amount of [Dollar Amount] ("Security Deposit").
- The Security Deposit shall be used to cover any damages to the Premises caused by Tenant, unpaid rent, or other breaches of this Lease.
- The Security Deposit shall be returned to Tenant within [Number] days after the expiration of the Lease Term, less any deductions for damages or unpaid rent, in compliance with Kansas law.
- The Security Deposit shall not exceed one month's rent if the property is unfurnished or 1.5 months' rent if the property is furnished.
Insurance
- Tenant shall maintain commercial general liability insurance with a minimum coverage of [Dollar Amount] per occurrence.
- Tenant shall maintain property insurance covering Tenant's personal property and improvements in the Premises.
- Landlord shall maintain property insurance covering the Building and the Premises.
- Option A: Business Interruption Insurance: Tenant shall maintain business interruption insurance.
- Option B: Additional Insureds: Tenant shall name Landlord as an additional insured on Tenant's liability insurance policy. Landlord shall name Tenant as an additional insured on Landlord's liability insurance policy.
Maintenance, Repair, and Alterations
- Tenant shall maintain the Premises in a clean and safe condition.
- Landlord shall be responsible for making all necessary repairs to the roof, foundation, and exterior walls of the Building.
- Tenant shall be responsible for making all necessary repairs to the interior of the Premises, except for repairs required due to Landlord's negligence.
- Tenant shall not make any alterations or improvements to the Premises without Landlord's prior written consent.
- Option A: Alterations: Tenant may make alterations with Landlord's consent; Tenant must restore the Premises to its original condition at the end of the lease term.
ADA Compliance
- Landlord and Tenant shall each be responsible for complying with the Americans with Disabilities Act (ADA) and Kansas accessibility requirements as they relate to their respective responsibilities under this Lease.
- [Specify which party is responsible for initial ADA compliance of the premises]
Default, Remedies, and Cure
- If Tenant fails to pay rent when due, Tenant shall be in default under this Lease.
- If Tenant breaches any other term of this Lease, Tenant shall be in default.
- Landlord shall give Tenant written notice of any default.
- Tenant shall have [Number] days to cure any monetary default and [Number] days to cure any non-monetary default.
- If Tenant fails to cure the default within the applicable cure period, Landlord may terminate this Lease and pursue all available remedies under Kansas law.
- Landlord's Remedies include but are not limited to: [List Landlord's Remedies, e.g., eviction, damages].
- Tenant's Remedies: If the Landlord fails to meet their responsibilities, the Tenant has a right to [list the Tenant's remedies].
Assignment and Subletting
- Option A: Assignment and subletting is prohibited without Landlord's prior written consent.
- Option B: Tenant may assign this Lease or sublet the Premises with Landlord's consent, which shall not be unreasonably withheld.
- Option C: Assignment and subletting is permitted.
- Any assignment or subletting shall not relieve Tenant of its obligations under this Lease.
Indemnification and Waiver
- Tenant shall indemnify and hold Landlord harmless from any and all claims, losses, damages, and liabilities arising out of Tenant's use of the Premises.
- [Specify which party is responsible for what type of damages.]
Signage
- Tenant may install signage on the exterior of the Premises with Landlord's prior written consent.
- All signage shall comply with applicable zoning laws and local ordinances.
- Option A: Signage Restrictions: [List Signage Restrictions, e.g., size limitations, color restrictions].
Parking and Access
- Tenant shall have the right to use [Number] parking spaces in the parking area designated by Landlord.
- Option A: Parking Fees: Tenant shall pay a monthly fee of [Dollar Amount] per parking space.
- Option B: Access: Tenant shall have access to the Premises 24 hours a day, 7 days a week.
- Option C: Hours of access are restricted to [list hours of access].
Building Rules and Regulations
- Tenant shall comply with all building rules and regulations established by Landlord.
- A copy of the current building rules and regulations is attached to this Lease.
- Building rules and regulations include: [List Building Rules and Regulations, e.g., no smoking in common areas, restrictions on noise levels].
Exclusive Rights
- Option A: Tenant shall have exclusive rights to operate a [Type of Business] within the [Shopping Center/Business Park].
- Option B: There are no exclusive rights granted.
Right of First Refusal/Offer
- Option A: If Landlord decides to sell the Premises, Tenant shall have the right of first refusal to purchase the Premises on the same terms and conditions as offered to a third party.
- Option B: If Landlord decides to lease adjacent space, Tenant shall have the right of first offer to lease the adjacent space.
- Option C: There is no right of first refusal/offer granted.
Environmental Regulations and Hazardous Materials
- Tenant shall comply with all applicable environmental laws and regulations, including those of the Kansas Department of Health and Environment (KDHE).
- Tenant shall not store or use any hazardous materials on the Premises without Landlord's prior written consent.
- [Specify responsibilities for handling hazardous materials].
Landlord's Right of Entry
- Landlord shall have the right to enter the Premises at reasonable times to inspect the Premises, make repairs, or show the Premises to prospective tenants or purchasers.
- Landlord shall provide Tenant with [Number] hours' notice prior to entering the Premises, except in cases of emergency.
Surrender and Restoration
- Upon the expiration or termination of this Lease, Tenant shall surrender the Premises to Landlord in the same condition as when received, reasonable wear and tear excepted.
- Tenant shall remove all of its personal property from the Premises.
- Option A: Restoration: Tenant shall restore the Premises to its original condition at the end of the lease term.
Representations and Warranties
- Landlord represents and warrants that it has the right to lease the Premises to Tenant.
- Tenant represents and warrants that it has the right to enter into this Lease.
- [Include any other specific representations and warranties].
Notices
- All notices required or permitted 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.
- [Specify requirements for electronic notices.]
Casualty and Condemnation
- If the Premises are damaged by fire or other casualty, rent shall abate until the Premises are restored.
- If the Premises are condemned, this Lease shall terminate.
- [Specify how insurance proceeds will be used.]
Dispute Resolution
- Any dispute arising out of or relating to this Lease shall be resolved through [Mediation/Arbitration/Litigation] in [City, Kansas], and governed by the laws of the State of Kansas.
- Option A: Mediation: Disputes shall be resolved through mediation before litigation.
- Option B: Arbitration: Disputes shall be resolved through binding arbitration.
Force Majeure
Neither party shall be liable for any failure to perform its obligations under this Lease due to causes beyond its reasonable control, including but not limited to acts of God, war, strikes, and governmental regulations.
Required Disclosures
- [Include any required disclosures under Kansas law, such as previous environmental issues, building code violations, or radon hazards].
- Option A: Lead Based Paint Disclosure: [Include lead-based paint disclosure if applicable].
City-Specific Ordinances
- [Include provisions to comply with specific city ordinances or local rules, such as Wichita, Kansas City, Topeka, etc.].
- Option A: Zoning Ordinances: [Describe what specific zoning requirements are in place].
Relationship of Parties
Nothing in this Lease shall be construed as creating a partnership, joint venture, or agency relationship between Landlord and Tenant.
Entire Agreement
This Lease constitutes the entire agreement between the parties and supersedes all prior or contemporaneous communications and proposals, whether oral or written, relating to the subject matter hereof.
Amendment
This Lease may be amended only by a writing signed by both Landlord and Tenant.
Severability
If any provision of this Lease is held to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.
IN WITNESS WHEREOF, the parties have executed this Lease as of the date first written above.
[Landlord Name]
By: [Landlord Signature]
[Landlord Printed Name]
[Tenant Name]
By: [Tenant Signature]
[Tenant Printed Name]
Notarization (Optional)
- State of Kansas, County of [County Name]
- On this [Day] day of [Month], [Year], before me, the undersigned, a Notary Public in and for said County and State, personally appeared [Landlord Name] and [Tenant Name], known to me to be the identical persons who executed the within and foregoing instrument, and acknowledged to me that they executed the same as their free and voluntary act and deed.
- [Notary Signature]
- [Notary Public Printed Name]
- My commission expires: [Date]
Guarantor (Optional)
For good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, [Guarantor Name], residing at [Guarantor Address], unconditionally guarantees the full and timely performance of all of Tenant's obligations under this Lease.
[Guarantor Signature]
[Guarantor Printed Name]
Special Kansas Considerations
- Late Charge Maximum: Late charges will not exceed amounts permitted by Kansas law.
- Notices: All notices will be served in accordance with Kansas law.
- Cure Periods: Cure periods comply with Kansas commercial landlord-tenant statutes.