Maine retail lease agreement template

Maine Retail Lease Agreement

This Maine Retail Lease Agreement (the "Agreement") is made and entered into as of this [Date of Signing], by and between [Landlord's Full Legal Name], a [Landlord's Entity Type, e.g., Maine LLC] with a principal place of business at [Landlord's Full Address] ("Landlord"), and [Tenant's Full Legal Name], a [Tenant's Entity Type, e.g., Maine Corporation] with a principal place of business at [Tenant's Full Address] ("Tenant").

Agreement Title: Retail Lease Agreement

Landlord:

• Name: [Landlord's Full Legal Name]
• Address: [Landlord's Full Address]
• Entity Type (if applicable): [Landlord's Entity Type]
• Contact Person: [Landlord's Contact Person]
• Contact Email: [Landlord's Contact Email]
• Contact Phone: [Landlord's Contact Phone]

Tenant:

• Name: [Tenant's Full Legal Name]
• Address: [Tenant's Full Address]
• Entity Type (if applicable): [Tenant's Entity Type]
• Contact Person: [Tenant's Contact Person]
• Contact Email: [Tenant's Contact Email]
• Contact Phone: [Tenant's Contact Phone]

Witnesseth:

1. Premises

The Landlord hereby leases to the Tenant, and the Tenant hereby leases from the Landlord, the certain retail space (the "Premises") located at [Full Property Address] in the City/Town of [City/Town Name], County of [County Name], Maine, more particularly described as follows:

• Property Address: [Full Property Address]
• Legal Description: [Legal Property Description]
• Retail Unit Identification: [Unit Number or Letter]
• Total Rentable Square Footage: [Rentable Square Footage] sq. ft.
• Total Usable Square Footage: [Usable Square Footage] sq. ft.
• Location within Shopping Center/Site: [Description of Location within the Center or Site]
• Unit Layout: [Brief Description of Unit Layout]
• Loading Areas: [Description of Loading Areas, if any]
• Storage Space: [Description of Storage Space, if any]
• Designated Customer Parking: [Description of Customer Parking Areas]
• Designated Employee Parking: [Description of Employee Parking Areas]
• Shared Use Zones: [Description of Shared Use Zones, e.g., Common Restrooms]
• Exclusive Use Zones: [Description of Exclusive Use Zones, e.g., Signage Space]

2. Use of Premises

The Premises shall be used and occupied by Tenant solely for the purpose of [Specific Description of Permitted Retail Use], and for no other purpose without the Landlord's prior written consent.

• Permitted Use: [Specific Description of Permitted Retail Use]
• Prohibited Uses:
  • Option A: The following uses are strictly prohibited: [List of Prohibited Uses].
  • Option B: Any use that violates applicable Maine laws or regulations, including zoning ordinances.
• Limitations on Change of Use:
  • Option A: Tenant shall not change the use of the Premises without Landlord's prior written consent, which may be withheld in Landlord’s sole discretion.
  • Option B: Tenant may change the use of the Premises to a similar retail use with Landlord’s prior written consent, such consent not to be unreasonably withheld.
• Compliance with Laws: Tenant shall comply with all applicable Maine municipal zoning, health, and retail business licensing laws.

3. Rules and Regulations

Tenant shall comply with all reasonable rules and regulations promulgated by Landlord for the operation of the Premises and the shopping center/property.

• Landlord-Imposed Rules and Regulations:
  • Hours of Operation: [Specify Hours of Operation]
  • Noise Restrictions: [Specify Noise Restrictions]
  • Advertising Guidelines: [Specify Advertising Guidelines]
  • Window Displays: [Specify Window Display Requirements]
  • Common Area Activities: [Specify Rules Regarding Common Area Activities]
  • Shopping Center Regulations: [Specify Shopping Center Regulations (attach as Exhibit A)]

4. Lease Term

The term of this Lease shall be for a period of [Number] years, commencing on [Lease Commencement Date] (the "Commencement Date") and expiring on [Lease Expiration Date] (the "Expiration Date"), unless sooner terminated as hereinafter provided.

• Lease Term: [Number] years
• Commencement Date: [Lease Commencement Date]
• Expiration Date: [Lease Expiration Date]
• Renewal Option:
  • Option A: Tenant shall have the option to renew this Lease for [Number] additional term(s) of [Number] years each, provided that Tenant gives Landlord written notice of its intention to renew not less than [Number] months prior to the Expiration Date. The rent for the renewal term shall be determined as follows: [Rent Adjustment Terms for Renewal Period].
  • Option B: There is no renewal option for this lease.
• Early Termination:
  • Option A: Tenant may terminate this Lease prior to the Expiration Date upon payment of a termination fee equal to [Number] months' rent and providing Landlord with [Number] months' prior written notice.
  • Option B: This lease may not be terminated early by the tenant.
• Tenant Default: [Specify Conditions of Tenant Default]
• Landlord Termination Rights: [Specify Landlord Termination Rights in Accordance with Maine Law]

5. Rent

Tenant shall pay to Landlord as base rent for the Premises the sum of [Dollar Amount] per year, payable in equal monthly installments of [Dollar Amount], in advance on the first day of each month, commencing on [Rent Commencement Date].

• Base Rent: [Dollar Amount] per year
• Rent Commencement Date: [Rent Commencement Date]
• Monthly Installment: [Dollar Amount]
• Payment Frequency: Monthly
• Method of Payment: [Specify Acceptable Methods of Payment, e.g., Check, Wire Transfer]
• Rent Abatement/Free Rent:
  • Option A: Tenant shall receive a rent abatement for the first [Number] months of the Lease term.
  • Option B: There is no rent abatement or free rent period.
• Escalation Formula:
  • Option A: The base rent shall increase by [Percentage]% per year.
  • Option B: The base rent shall be adjusted annually based on the Consumer Price Index (CPI) for [Specific CPI Index].
  • Option C: Percentage Rent: In addition to the base rent, Tenant shall pay to Landlord [Percentage]% of Tenant’s gross sales exceeding [Dollar Amount] per year.
• Maine Sales Tax: [State whether sales tax is applicable to the lease, and if so, how it is to be handled per Maine Law.] [Details on Sales Tax Payment]

6. Triple Net (NNN) Charges/Gross Lease

• Option A: This is a Triple Net (NNN) Lease. In addition to the base rent, Tenant shall pay its pro rata share of all operating expenses of the property, including but not limited to property taxes, insurance, and common area maintenance (CAM).
• Option B: This is a Gross Lease. The base rent includes all operating expenses of the property, including but not limited to property taxes, insurance, and common area maintenance (CAM).
• Property Taxes: [Allocate Responsibility for Property Taxes, including Maine-Specific Tax Payment Practices and Proration]
• Landlord Insurance: [Allocate Responsibility for Landlord Insurance]
• Tenant Insurance: [Allocate Responsibility for Tenant Insurance]
• Utilities: [Allocate Responsibility for Utilities (water, sewer, electricity, heating, air conditioning, trash removal, snow removal)]
• Common Area Maintenance (CAM): [Allocate Responsibility for Common Area Maintenance with Detailed Calculation and Audit/Records Access Rights for Tenant]

7. Security Deposit

Tenant shall deposit with Landlord the sum of [Dollar Amount] as a security deposit, which shall be held by Landlord as security for the performance of Tenant's obligations under this Lease.

• Security Deposit Amount: [Dollar Amount]
• Holding Terms: [Specify Holding Terms and Allowed Deductions]
• Return of Security Deposit: Landlord shall return the security deposit to Tenant within [Number] days after the Expiration Date or earlier termination of this Lease, less any deductions permitted by Maine law.

8. Tenant Improvements

• Tenant Improvement Allowance: [Specify Tenant Improvement Allowance, if any]
• Permissible Alterations: [Specify Scope of Permissible Alterations]
• Landlord Approval Process: [Specify Landlord Approval Process for Alterations]
• Code and Permit Compliance: [Allocate Responsibility for Code and Permit Compliance (building, health, accessibility, energy efficiency, and fire code per Maine regulations)]
• Restoration at Lease End: [Specify Requirements for Restoration at Lease End]

9. Repairs and Maintenance

• Interior Space: [Allocate Repair and Maintenance Duties for Interior Space]
• Exterior Façade: [Allocate Repair and Maintenance Duties for Exterior Façade]
• Storefront: [Allocate Repair and Maintenance Duties for Storefront]
• Mechanical/Electrical/Plumbing Systems: [Allocate Repair and Maintenance Duties for Mechanical/Electrical/Plumbing Systems]
• Sidewalk/Parking Lot: [Allocate Repair and Maintenance Duties for Sidewalk/Parking Lot (with particular attention to snow removal and slip-and-fall liability per Maine weather)]

10. Care and Return of Premises

• Standard of Care: Tenant shall maintain the Premises in a clean, safe, and good condition.
• Return of Premises: Upon the Expiration Date or earlier termination of this Lease, Tenant shall surrender the Premises to Landlord in the same condition as received, ordinary wear and tear excepted.
• Removal of Fixtures and Personal Property: [Specify Rules for Removal of Tenant’s Fixtures and Personal Property]
• Abandoned Property: [Address Abandoned Property in Compliance with Maine Statutes]

11. Signage

• Signage Rights: [Specify Signage Rights]
• Design Criteria: [Specify Design Criteria]
• Required Permits: [Allocate Responsibility for Obtaining Required Permits]
• Relocation or Removal: [Specify Relocation or Removal Provisions]
• Landlord's Reserved Rights: [Specify Landlord’s Reserved Rights over Common Signage Areas]

12. Environmental Compliance

Tenant shall comply with all applicable federal, state, and local environmental laws and regulations.

• Hazardous Materials: [Address Hazardous Materials and Waste Disposal]
• Maine DEP Rules: [Require Adherence to Maine Department of Environmental Protection Rules]

13. Insurance

Tenant shall maintain commercial general liability insurance, property insurance, and business interruption insurance at coverage levels suitable for retail use in Maine.

• Coverage Levels: [Specify Coverage Levels]
• Additional Insured: Tenant shall name Landlord as an additional insured on its commercial general liability policy.
• Certificate Delivery: Tenant shall provide Landlord with a certificate of insurance evidencing the required coverage.
• Waiver of Subrogation: [Include Waivers of Subrogation]

14. Fire, Disaster, and Casualty

• Procedures: [Specify Fire, Disaster, and Casualty Procedures]
• Rent Abatement/Termination: [Clarify Rent Abatement or Termination Rights Following Significant Damage]
• Maine Fire Safety Laws: [Compliance with Maine Fire Safety Laws]

15. Access

Landlord shall have the right to enter the Premises for inspection, repairs, or to show the Premises to prospective purchasers or tenants, provided Landlord gives Tenant reasonable advance notice, except in cases of emergency.

• Advance Notice: [Specify Advance Notice Requirement Per Maine Law]
• Emergency Exception: [Specify Emergency Exception Standards]

16. Tenant's Operations

• Signage and Promotion: [Govern Tenant’s Signage, Promotional Events, Music, and Public Gatherings Per Local Ordinances and Shopping Center Rules]
• Assignment and Subletting:
  • Option A: Tenant shall not assign this Lease or sublet the Premises without Landlord's prior written consent, which may be withheld in Landlord’s sole discretion.
  • Option B: Tenant may assign this Lease or sublet the Premises with Landlord’s prior written consent, such consent not to be unreasonably withheld. [Reference any Maine law on commercial sublets]
• Continuous Operation: [Require Continuous Operation, Minimum Hour Requirements, and Right to Go-Dark Provisions if allowed]
• Temporary Closures: [Specify Rules for Temporary Closures, Seasonal Operation, or Force Majeure Events]

17. Americans with Disabilities Act (ADA)

Tenant shall be responsible for complying with the Americans with Disabilities Act (ADA) and all applicable Maine accessibility requirements.

• ADA Compliance: [Address Obligations Regarding Americans with Disabilities Act (ADA), Maine accessibility requirements, and roles in funding or undertaking modifications]

18. Indemnification

• Indemnification Procedures: [Address Indemnification Procedures, Waivers, and Limitations of Landlord Liability as permitted by Maine law]

19. Radius Restriction/Exclusive Use

• Radius Restriction: [Specify any Radius Restriction to limit Tenant Operations Elsewhere]
• Exclusive Use Rights: [Clarify any Radius Restriction or Exclusive Use Rights to limit Landlord leasing to direct competitors in the same center, with Maine antitrust compliance]

20. Dispute Resolution

Any dispute arising out of or relating to this Lease shall be resolved through [Specify Dispute Resolution Method: negotiation, mediation, litigation or arbitration].

• Dispute Resolution Method: [Specify Dispute Resolution Method]
• Attorney's Fees: [Address Attorney’s Fees]
• Governing Law: This Lease shall be governed by and construed in accordance with the laws of the State of Maine.
• Jurisdiction: [Designate Maine law and local county court or arbitration jurisdiction]

21. Compliance with Laws

This Lease shall be subject to all applicable federal, state, and local laws, rules, and regulations.

• Applicable Laws: [Reference Compliance with all applicable Maine state and local statutes regarding real estate, retail sales, consumer protection, fair trade, financial reporting, food or tobacco regulation if applicable]

22. Notices

All notices required or permitted under this Lease shall be in writing and shall be deemed given when personally delivered or sent by certified mail, return receipt requested, to the addresses set forth above.

• Notice Procedures: [Specify Notice Procedures for Legal Correspondence Per Maine Law, and Methods for Amending the Agreement]

23. Representations and Warranties

• Representations and Warranties: [Include Representations and Warranties by both parties regarding authority to execute the lease, non-contravention, and business legal standing]

24. Co-Tenancy (Shopping Centers)

• Co-Tenancy Provisions: [Address Co-Tenancy Provisions in Shopping Centers (if relevant), including tenant remedies for anchor tenant vacancy or low occupancy]

25. Estoppel Certificate

Tenant shall, within [Number] days after request by Landlord, execute, acknowledge, and deliver to Landlord, or to any party designated by Landlord, an estoppel certificate.

• Estoppel Certificate Procedures: [Provide for Estoppel certificate procedures as may be required by Maine lenders or prospective purchasers]

26. Unfair Trade Practices

• Compliance: [Include rules for compliance with the Maine Unfair Trade Practices Act and related consumer protection regulations]

27. Coastal, Rural, or Historic District Restrictions

• District Restrictions: [Address any specific coastal, rural, or historic district restrictions under Maine law, where applicable, for the property’s municipality or county]

28. Severability, Integration, and Execution

• Severability Clause: If any provision of this Lease is held to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.
• Integration/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.
• Execution Requirements: [Specify Execution Requirements Pursuant to Maine Commercial Real Estate Law]

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

Landlord:

____________________________

[Landlord's Full Legal Name]

By: ____________________________

[Landlord's Signature]

Title: ____________________________

[Landlord's Title]

Tenant:

____________________________

[Tenant's Full Legal Name]

By: ____________________________

[Tenant's Signature]

Title: ____________________________

[Tenant's Title]