Kentucky restaurant lease agreement template

Kentucky Restaurant Lease Agreement

This Kentucky Restaurant Lease Agreement (the "Agreement") is made and entered into as of [Date], by and between [Landlord Legal Name], residing at [Landlord Address] ("Landlord"), and [Tenant Legal Name], a [Tenant Entity Type, e.g., Corporation] with its principal place of business at [Tenant Address] ("Tenant").

1. Premises

Option A: The Landlord hereby leases to the Tenant, and the Tenant hereby leases from the Landlord, the premises located at [Property Address], legally described as [Legal Description], and commonly known as [Restaurant Name, if applicable] (the "Premises").

Option B: Attached as Exhibit A is the site plan and legal description of the premises. The premises is approximately [Square Footage] square feet, including [Dining Area Square Footage] for dining and [Kitchen Square Footage] for kitchen areas.

The Premises includes the following:

• Dining area
• Kitchen area, as depicted in [Exhibit Letter]
• Restrooms
• Designated parking spaces: [Number]
• Common area access
• Loading/Unloading Zones
• Outdoor Dining/Patio: [Yes/No], if yes, describe: [Description]

2. Use

Option A: The Premises shall be used exclusively for the operation of a restaurant and for no other purpose. This includes food preparation, service, and the sale of alcoholic beverages, if properly licensed and in compliance with Kentucky ABC laws.

Option B: The Tenant shall comply with all applicable Kentucky and local health, food safety, alcohol service, and fire department codes.

The Tenant shall not use the Premises for any purpose that is illegal or that violates any applicable Kentucky laws or regulations.

3. Equipment and Fixtures

Option A: The Landlord provides the following equipment and fixtures: [List of Equipment, e.g., Grease trap, hood vent system, refrigeration units, etc.].

Option B: The Tenant is responsible for providing all equipment and fixtures necessary for the operation of the restaurant.

Responsibility for Maintenance/Repair:

• Landlord: [List of Landlord Responsibilities]
• Tenant: [List of Tenant Responsibilities]

4. Hours of Operation and Zoning

Option A: The Tenant's hours of operation shall be [Start Time] to [End Time], [Days of the Week].

Option B: The Tenant shall comply with all applicable local zoning ordinances, including restrictions on hours of operation, noise levels, and signage, including those specific to [County Name] County and the city of [City Name].

The Tenant is responsible for obtaining all necessary permits and licenses for the operation of the restaurant, including an alcohol license if applicable.

5. Lease Term

Option A: The term of this Lease shall be [Number] years, commencing on [Start Date] and expiring on [End Date].

Option B: Renewal Options: [Describe Renewal Options, if any].

Option C: Holdover: If the Tenant remains in possession of the Premises after the expiration of the Lease term, such occupancy shall be a month-to-month tenancy, subject to the same terms and conditions as this Lease, but with the rent increased to [Percentage]% of the then-current rent.

6. Rent and Security Deposit

Option A: The initial base rent shall be [Dollar Amount] per month, payable in advance on the [Day] day of each month, commencing on [Rent Commencement Date].

Option B: Percentage Rent: In addition to the base rent, the Tenant shall pay percentage rent equal to [Percentage]% of gross revenue exceeding [Dollar Amount] per [Month/Year].

Escalation Clause: The base rent shall increase by [Percentage]% annually on each anniversary of the Lease commencement date.

The Tenant shall pay a security deposit of [Dollar Amount], which shall be returned to the Tenant within [Number] days of the termination of the Lease, less any deductions for damages or unpaid rent, in accordance with Kentucky law.

Rent shall be paid to [Payee Name] at [Payment Address] via [Payment Method, e.g., Check, Electronic Transfer].

Late Payment Fee: A late payment fee of [Dollar Amount] will be charged for payments received more than [Number] days after the due date.

7. Utilities

Option A: The Tenant shall be responsible for the payment of all utilities, including water, gas, electricity, sewer, and waste removal.

Option B: Landlord is responsible for [Specific Utilities].

The Tenant shall be responsible for grease trap cleaning and pumping as required by Kentucky and local regulations.

8. Alterations and Improvements

Option A: The Tenant shall not make any alterations or improvements to the Premises without the Landlord's prior written consent, which shall not be unreasonably withheld.

Option B: All alterations and improvements shall be made in compliance with all applicable Kentucky building codes and ADA accessibility standards.

Any improvements made by the tenant become property of the landlord upon termination of the lease.

9. Repairs and Maintenance

Option A: The Landlord shall be responsible for maintaining the structural integrity of the Premises, including the roof, foundation, and exterior walls.

Option B: The Tenant shall be responsible for maintaining the interior of the Premises in good repair and condition, including all equipment and fixtures.

The Tenant shall promptly notify the Landlord of any necessary repairs.

Emergency repairs affecting food safety or refrigeration must be addressed within [Number] hours.

10. Insurance

Option A: The Tenant shall maintain commercial general liability insurance with a limit of not less than [Dollar Amount] per occurrence and [Dollar Amount] in the aggregate.

Option B: The Tenant shall also maintain property insurance covering the Tenant's personal property and equipment.

Liquor Liability Insurance: If serving alcohol, the tenant must maintain adequate liquor liability insurance coverage according to Kentucky state law.

The Landlord shall be named as an additional insured on the Tenant's commercial general liability insurance policy.

11. Indemnification

The Tenant shall indemnify and hold harmless the Landlord from and against any and all claims, losses, damages, liabilities, and expenses arising out of the Tenant's use of the Premises, including, but not limited to, claims for personal injury, property damage, and foodborne illness.

12. Parking and Common Areas

Option A: The Tenant shall have the right to use [Number] parking spaces in the parking lot serving the Premises.

Option B: The Tenant shall be responsible for maintaining the common areas in a clean and safe condition.

All parking and common area use must comply with local ordinances of [City Name], Kentucky.

13. Compliance with Laws

The Tenant shall comply with all applicable federal, state, and local laws, regulations, and ordinances, including, but not limited to, the Americans with Disabilities Act (ADA), Kentucky wage and hour laws, and Kentucky Department of Revenue regulations.

14. Assignment and Subletting

Option A: The Tenant shall not assign this Lease or sublet the Premises without the Landlord's prior written consent, which shall not be unreasonably withheld.

Option B: Any assignment or subletting shall be subject to the terms and conditions of this Lease.

15. Default

Option A: If the Tenant fails to pay rent when due or otherwise breaches this Lease, the Landlord shall have the right to terminate this Lease and re-enter the Premises, as permitted by Kentucky law.

Option B: The Tenant shall have [Number] days to cure any monetary default.

The Landlord shall follow Kentucky eviction procedures for commercial properties.

16. Surrender of Premises

Upon the termination of this Lease, the Tenant shall surrender the Premises to the Landlord in the same condition as when received, reasonable wear and tear excepted, including removing all restaurant fixtures and equipment, cleaning the kitchen and exhaust ductwork, and repairing any damage caused by the Tenant.

17. Casualty

If the Premises are damaged by fire or other casualty, the Landlord shall have the option to repair the Premises or terminate this Lease. If the Landlord elects to repair the Premises, the rent shall be abated during the period of repair.

18. Dispute Resolution

Any dispute arising out of or relating to this Lease shall be resolved through mediation in [City Name], Kentucky. If mediation is unsuccessful, the dispute shall be resolved through binding arbitration in accordance with the laws of Kentucky. Venue for any legal action shall be in [County Name] County, Kentucky.

19. Governing Law

This Lease shall be governed by and construed in accordance with the laws of the Commonwealth of Kentucky.

20. Additional Provisions

[Specify any additional provisions, such as continuous operation clause, treatment of intellectual property, or data privacy obligations].

Exhibit A: Site Plan and Legal Description

Exhibit B: Inventory of Landlord-Provided Equipment

Tenant’s compliance with Kentucky Human Resources law for staff (wage/hour, tip pooling, worker’s compensation insurance).

Tenant meets all local public health, OSHA restaurant standards, and Americans with Disabilities Act (ADA) compliance in Kentucky enforcement context.

Tenant’s obligation to meet all Kentucky Department of Revenue, Municipal Food and Beverage Tax, health and environmental regulations, and periodic re-certification or inspection obligations.

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

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[Landlord Name], Landlord

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[Tenant Name], Tenant