Maryland retail lease agreement template

Maryland Retail Lease Agreement

This Retail Lease Agreement (the "Lease") is made and entered into as of this [Date], by and between [Landlord Name], residing at [Landlord Address] ("Landlord"), and [Tenant Name], residing at [Tenant Address] ("Tenant").

1. Premises

Landlord leases to Tenant, and Tenant leases from Landlord, the following described premises (the "Premises") located at [Property Address] in the State of Maryland:

• The retail unit consisting of approximately [Square Footage] square feet.
• Configuration: [Description of layout, e.g., open floor plan, separate rooms].
• Street Frontage: [Length] feet.
• Access Points: [Number and description, e.g., one main entrance, rear loading dock].
• Parking Spaces: [Number] designated parking spaces.
• Signage Rights: [Description, e.g., one storefront sign, directory listing].
• Common Areas: [Description of shared areas, e.g., hallways, restrooms].

2. Permitted Use

Tenant shall use the Premises solely for the purpose of [Specific Retail Use, e.g., retail sale of clothing, restaurant], and for no other purpose.

• Option A: Tenant shall not sell or offer for sale any [Prohibited Products/Services].
• Option B: Any change of use is subject to Landlord's prior written consent, which shall not be unreasonably withheld. Tenant is responsible for obtaining all necessary Maryland business licenses and permits.

3. Lease Term

The term of this Lease shall commence on [Commencement Date] and expire on [Expiration Date].

• Option A: Renewal Options: Tenant shall have the option to renew this Lease for [Number] additional term(s) of [Length] each, provided Tenant gives Landlord written notice of its intent to renew at least [Number] months prior to the expiration of the then-current term.
• Option B: Early Termination: Tenant may terminate this lease with [Number] days written notice if [Condition for early termination, e.g., loss of franchise agreement].
• Tenant holdover: In accordance with Maryland law, any holdover beyond the expiration date without a written agreement will be considered a month-to-month tenancy.

4. 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] to Landlord at [Payment Address].

• Option A: Security Deposit: Tenant shall deposit with Landlord a security deposit of [Dollar Amount]. Said deposit will be held in an interest-bearing account in accordance with Maryland law.
• Option B: Rent Escalation: The base rent shall increase by [Percentage]% per year, commencing on [Date].
• Option C: Rent Escalation: The base rent shall increase based on the Consumer Price Index (CPI) for the [City, State] area.
• Option D: Triple Net Lease (NNN): In addition to the base rent, Tenant shall pay Tenant's proportionate share of all property taxes, insurance, and common area maintenance (CAM) costs as outlined in Section 5.

5. Common Area Maintenance (CAM)

Tenant shall pay its proportionate share of CAM costs, which shall include, but not be limited to, expenses for maintaining, repairing, and operating the common areas of the property.

• Itemized CAM Charges: Includes, but is not limited to, cleaning, landscaping, mall marketing, utility cost allocations, janitorial and trash services.
• Tenant's proportionate share is defined as [Percentage]%, based on the ratio of the square footage of the Premises to the total leasable square footage of the property.
• Landlord shall provide Tenant with a detailed accounting of CAM expenses on a [Frequency, e.g., quarterly, annual] basis. Tenant shall have the right to audit Landlord's CAM expenses, subject to reasonable notice.

6. Repairs and Maintenance

Landlord shall maintain the building structure, roof, and shared systems. Tenant shall maintain the interior of the Premises and all business equipment in good repair and condition, in compliance with Maryland health and ADA accessibility standards.

• Tenant Responsibilities: Includes HVAC servicing, interior lighting and plumbing.
• Landlord Responsibilities: Includes roof repairs and structural repairs.

7. Alterations and Improvements

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

• All alterations and improvements shall be performed in compliance with all applicable Maryland codes and regulations.
• At the expiration or termination of this Lease, Tenant shall restore the Premises to its original condition, reasonable wear and tear excepted, unless otherwise agreed to in writing by Landlord.
• All fixtures and trade equipment installed by Tenant shall remain the property of Tenant, provided that Tenant removes them upon termination of this Lease and repairs any damage caused by such removal.

8. Utilities

Tenant shall be responsible for the payment of all utilities serving the Premises, including electricity, water, and gas.

• HVAC Hours: HVAC will be provided during the hours of [Start Time] to [End Time], [Days of the Week]. Any extended hours are subject to additional charges.
• Metering: Utilities shall be separately metered.
• Recapture Rights: Landlord reserves the right to recapture excess usage beyond reasonable parameters.

9. Insurance and Indemnification

Tenant shall maintain commercial general liability insurance with minimum limits of [Dollar Amount] per occurrence and [Dollar Amount] aggregate, naming Landlord as an additional insured.

• Certificate Requirements: Tenant shall provide Landlord with a certificate of insurance evidencing such coverage.
• Waiver of Subrogation: The parties hereby waive any rights of subrogation against each other.
• Indemnification: Tenant shall indemnify and hold Landlord harmless from and against any and all claims, losses, damages, liabilities, and expenses (including attorney's fees) arising out of Tenant's use of the Premises, to the extent permitted by Maryland law.

10. Signage

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

• Signage Restrictions: Signage size, location, and design must comply with shopping center regulations and local government ordinances.

11. Access and Hours of Operation

Tenant shall operate its business during the hours of [Start Time] to [End Time], [Days of the Week], unless otherwise agreed to in writing by Landlord.

• Exclusive Use: Landlord grants Tenant exclusive use for [Specific Retail Use].
• Compliance: Tenant shall comply with all Maryland laws related to public accommodation, fire, health, and safety regulations.

12. Taxes

Tenant shall be responsible for the payment of all personal property taxes assessed against Tenant's personal property located on the Premises.

• Real Estate Tax Pass-Through: Tenant shall pay its proportionate share of real estate taxes, as determined by [Allocation Formula].

13. Dispute Resolution

Any dispute arising out of or relating to this Lease shall be resolved through negotiation, then mediation, then arbitration or litigation in Maryland courts.

• Governing Law: This Lease shall be governed by and construed in accordance with the laws of the State of Maryland.
• Jurisdiction and Venue: Any legal action arising out of this Lease shall be brought in the courts of [County] County, Maryland.

14. Move-In and Move-Out

Tenant shall accept the Premises in its "as is" condition.

• Acceptance of Premises: Tenant is responsible for inspecting the premises and reporting any issues within [Number] days of commencement.
• Move-Out Duties: Tenant shall leave the premises in a clean and good condition, reasonable wear and tear excepted.
• Security Deposit Return: Landlord shall return the security deposit, less any permissible deductions, within [Number] days after termination of this Lease, in accordance with Maryland law.

15. Compliance with Laws

Tenant shall comply with all applicable Maryland retail, environmental, and consumer protection laws.

• Hazardous Materials: Tenant is prohibited from storing or using hazardous materials on the premises without prior written consent.
• Recycling: Tenant shall comply with all applicable Maryland recycling mandates.

16. Default and Remedies

If Tenant fails to pay rent when due, or otherwise breaches this Lease, Landlord shall have the right to terminate this Lease and pursue all available remedies under Maryland law, including eviction, acceleration of rent, and re-letting of the Premises.

• Notice of Default: Landlord shall provide Tenant with written notice of any default and an opportunity to cure such default within [Number] days.

17. Force Majeure

Neither party shall be liable for any failure to perform its obligations under this Lease to the extent such failure is caused by a force majeure event, including but not limited to acts of God, war, terrorism, strikes, and government regulations.

• Impact of Closures: Tenant shall be obligated to comply with landlord policy during any period of forced closure due to unforeseen circumstances.

18. ADA Compliance

Tenant shall comply with all applicable Americans with Disabilities Act (ADA) requirements and Maryland accessibility codes.

19. Landlord Access

Landlord shall have the right to access the Premises for inspection, maintenance, or repairs, upon reasonable notice to Tenant, in accordance with Maryland privacy statutes.

20. Shopping Center Covenants

Tenant shall comply with all applicable shopping center operating covenants, including merchant association dues or promotions.

• Retail Hours Requirements: Tenant must maintain business hours in alignment with center policies.

21. Other Maryland Laws

Tenant shall comply with the Retail Installment Sales Act, consumer transaction statutes, and other industry-specific Maryland laws affecting the business operations on the Premises.

22. Tenant Improvement Allowance

Landlord shall provide Tenant with a tenant improvement allowance of [Dollar Amount], subject to the terms and conditions set forth in [Exhibit A].

23. Certificates of Occupancy

Tenant shall be responsible for obtaining all necessary certificates of occupancy, health department clearances, and other Maryland-specific inspection or reporting obligations as a condition precedent to opening for business.

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

Landlord:

[Landlord Name]

By: [Signature]

[Printed Name]

Tenant:

[Tenant Name]

By: [Signature]

[Printed Name]