Ohio commercial lease agreement template

Ohio Commercial Lease Agreement

This Commercial Lease Agreement (the "Lease") is made and entered into as of this [Date] by and between:

• [Landlord Name], a [Entity Type, e.g., Individual, Corporation, LLC], with a principal place of business at [Landlord Address] ("Landlord"), and
• [Tenant Name], a [Entity Type, e.g., Individual, Corporation, LLC], with a principal place of business at [Tenant Address] ("Tenant").

1. Premises

Landlord hereby leases to Tenant, and Tenant hereby leases from Landlord, the premises (the "Premises") located at [Street Address], Suite/Unit [Suite/Unit Number], in the City of [City], County of [County], State of Ohio, consisting of approximately [Square Footage] square feet.

• The Premises shall be used for [Permitted Use, e.g., office, retail, industrial].
• Common Areas: [Description of Common Areas, e.g., shared restrooms, hallways, parking lot]
• Parking Spaces: [Number] parking spaces are included in this lease.
• Storage Units: [Description of Storage Units, e.g., size, location].

2. Lease Term

• Option A: Fixed Term
  • The term of this Lease shall commence on [Start Date] and shall expire on [End Date].
• Option B: Month-to-Month
  • The term of this Lease shall commence on [Start Date] and shall continue on a month-to-month basis until terminated by either party with [Number] days written notice.
• Renewal:
  • Option A: Tenant shall have the option to renew this Lease for [Number] additional term(s) of [Duration, e.g., one year, two years] each, 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: No Renewal Option.
• Holding Over: Any holding over by Tenant after the expiration of the term shall be construed as a month-to-month tenancy, subject to all the terms and conditions of this Lease, except that the monthly rent shall be [Percentage]% of the then-current monthly rent.

3. Rent

• Base Rent: Tenant shall pay Landlord base rent of [Dollar Amount] per month, payable in advance on the [Day] day of each month, commencing on [Start Date].
• Escalation Clause:
  • Option A: CPI Increase
    • The base rent shall be adjusted annually based on the Consumer Price Index (CPI) for [CPI Area], as published by the U.S. Bureau of Labor Statistics. The adjustment shall be effective on [Date] of each year, and shall be equal to the percentage increase in the CPI over the previous [Number] month period.
  • Option B: Fixed Percentage
    • The base rent shall increase by [Percentage]% on [Date] of each year.
  • Option C: Step Increase
    • The base rent shall increase to [Dollar Amount] on [Date], to [Dollar Amount] on [Date], and to [Dollar Amount] on [Date].
• Payment Method: Rent shall be paid by [Payment Method, e.g., check, electronic transfer] to Landlord at [Payment Address].
• Grace Period: Tenant shall have a [Number] day grace period for rent payments.
• Late Fee: If rent is not received within the grace period, Tenant shall pay a late fee of [Dollar Amount] or [Percentage]% of the overdue amount, whichever is greater.
• Returned Check Fee: Tenant shall pay a fee of [Dollar Amount] for any returned check.

4. Additional Financial Terms

• 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.
  • Permitted Deductions: Landlord may deduct from the security deposit reasonable amounts necessary to repair damages to the Premises caused by Tenant (excluding ordinary wear and tear), to clean the Premises upon termination of the Lease, or to compensate Landlord for unpaid rent or other charges due under this Lease.
  • Return Procedures: Landlord shall return the security deposit (less any permitted deductions) to Tenant within [Number] days after the termination of this Lease and Tenant's surrender of the Premises.
  • Interest: [Specify if interest is paid on the security deposit as required by Ohio law]. [Details about how interest is accrued and paid, if applicable.]
• Prepaid Rent: Tenant shall pay [Dollar Amount] as prepaid rent for the [Month] month.
• Expense Reimbursement: [Details of expense reimbursement procedures, if applicable.]

5. Operating Expenses

• Lease Type:
  • Option A: Triple Net (NNN) Lease
    • Tenant shall pay, in addition to the base rent, its proportionate share of all operating expenses, including but not limited to utilities, common area maintenance (CAM), property taxes, and property insurance. Tenant’s proportionate share is [Percentage]%.
  • Option B: Gross Lease
    • Landlord shall be responsible for all operating expenses, including but not limited to utilities, common area maintenance (CAM), property taxes, and property insurance.
  • Option C: Modified Gross Lease
    • Landlord and Tenant shall share operating expenses as follows: [Specify responsibilities for each party].
• Utilities:
  • Tenant's Responsibility: Tenant shall be responsible for the direct payment of [List utilities, e.g., electricity, gas, water, sewer].
  • Landlord's Responsibility: Landlord shall be responsible for the direct payment of [List utilities].
• CAM (Common Area Maintenance):
  • Tenant shall reimburse Landlord for its proportionate share of CAM expenses within [Number] days of receiving an invoice from Landlord.
  • Landlord shall provide Tenant with a detailed accounting of CAM expenses annually.
• Property Taxes:
  • Tenant shall reimburse Landlord for its proportionate share of property taxes within [Number] days of receiving an invoice from Landlord.
• Property Insurance:
  • Landlord shall maintain property insurance on the Premises.
  • Tenant shall maintain liability insurance as required in Section 11.

6. Use of Premises

• Permitted Use: The Premises shall be used solely for [Specific Permitted Use].
• Prohibited Uses: The following uses are prohibited: [List prohibited uses].
• Changes in Use: Tenant shall not change the use of the Premises without Landlord's prior written consent.
• Subletting/Assignment: Tenant shall not sublet the Premises or assign this Lease without Landlord's prior written consent, which consent shall not be unreasonably withheld.
• Business Licenses: Tenant shall be responsible for obtaining and maintaining all necessary business licenses and permits to operate its business on the Premises and shall comply with all applicable zoning ordinances.

7. Maintenance and Repair

• Landlord's Responsibilities: Landlord shall be responsible for maintaining the roof, foundation, and exterior walls of the Premises in good repair.
• Tenant's Responsibilities: Tenant shall be responsible for maintaining the interior of the Premises in good repair, including but not limited to fixtures, equipment, and plumbing.
• Routine Maintenance: Tenant shall perform routine maintenance, such as cleaning and replacing light bulbs.
• Emergency Repairs: In the event of an emergency, such as a burst pipe or fire, Tenant shall immediately notify Landlord and take reasonable steps to mitigate the damage.
• Reporting Damages: Tenant shall promptly report any damage or defects to the Premises to Landlord.

8. Alterations and Improvements

• Landlord Approval: Tenant shall not make any alterations or improvements to the Premises without Landlord's prior written consent.
• Removal/Restoration: Upon termination of this Lease, Tenant shall [Choose one: remove all alterations and improvements and restore the Premises to its original condition OR leave all alterations and improvements in place].
• Ownership: All alterations and improvements made by Tenant shall become the property of Landlord upon termination of this Lease, unless otherwise agreed in writing.

9. Property Entry and Inspection

• Landlord's Right to Enter: Landlord shall have the right to enter the Premises at reasonable times to inspect the Premises, make necessary repairs, or show the Premises to prospective tenants or purchasers.
• Notice: Except in cases of emergency, Landlord shall provide Tenant with at least [Number] hours' notice prior to entering the Premises.

10. Insurance

• Liability Insurance: Tenant shall maintain commercial general liability insurance with a minimum coverage of [Dollar Amount] per occurrence and [Dollar Amount] in the aggregate.
• Property Insurance: Tenant shall maintain property insurance covering Tenant's personal property and equipment on the Premises.
• Business Interruption Insurance: [Optional clause about business interruption insurance].
• Additional Insured: Landlord shall be named as an additional insured on Tenant's liability insurance policy.
• Waiver of Subrogation: [Optional clause about waiver of subrogation].
• Evidence of Insurance: Tenant shall provide Landlord with certificates of insurance evidencing the required coverage.

11. Liability and Indemnification

• Indemnification:
  • Option A: Mutual Indemnification
    • Each party shall indemnify 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 in connection with the indemnifying party's breach of this Lease or its negligence or willful misconduct.
  • Option B: Tenant Indemnification Only
    • Tenant shall indemnify 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 in connection with Tenant's use of the Premises or Tenant's breach of this Lease.
• Exclusions: [Specify any exclusions to the indemnification obligations.]
• Coverage Limits: [Specify any coverage limits to the indemnification obligations.]

12. Casualty Loss and Disaster

• Repair: If the Premises are damaged by fire or other casualty, Landlord shall repair the Premises within a reasonable time.
• Rent Abatement: If the Premises are untenantable as a result of the casualty, rent shall be abated until the Premises are restored.
• Termination: If the Premises are substantially damaged and cannot be restored within [Number] days, either party may terminate this Lease.

13. Condemnation

• Termination: If a substantial portion of the Premises is taken by eminent domain, either party may terminate this Lease.
• Compensation: Any compensation awarded for the taking shall be distributed as follows: [Specify the distribution of compensation.]

14. Surrender

• Condition of Premises: Upon termination of this Lease, Tenant shall surrender the Premises in broom-clean condition, reasonable wear and tear excepted.
• Removal of Property: Tenant shall remove all of its personal property from the Premises upon termination of this Lease.
• Abandoned Property: Any property left on the Premises after the termination of this Lease shall be deemed abandoned and may be disposed of by Landlord at Tenant's expense.

15. Default and Remedies

• Events of Default: The following shall constitute events of 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.
  • Insolvency or bankruptcy.
• Cure Period: Tenant shall have [Number] days to cure any default, except for the failure to pay rent, which shall have a cure period of [Number] days.
• Landlord's Remedies: Upon the occurrence of an event of default, Landlord shall have the right to:
  • Terminate this Lease and re-enter the Premises.
  • Evict Tenant from the Premises.
  • Recover damages for breach of this Lease, including unpaid rent, late fees, and costs of re-letting the Premises.
• Tenant's Right to Cure/Offset: [Specify any rights Tenant has to cure defaults or offset rent.]

16. Dispute Resolution

• Option A: Mediation
  • Any dispute arising out of or relating to this Lease shall be resolved through mediation in [City, Ohio], before resorting to arbitration or litigation.
• Option B: Arbitration
  • Any dispute arising out of or relating to this Lease shall be resolved through binding arbitration in [City, Ohio], in accordance with the rules of the American Arbitration Association.
• Option C: Litigation
  • Any dispute arising out of or relating to this Lease shall be resolved in the courts of [County] County, Ohio.
• Governing Law: This Lease shall be governed by and construed in accordance with the laws of the State of Ohio.
• Jurisdiction and Venue: The parties hereby consent to the jurisdiction and venue of the courts of [County] County, Ohio.

17. Subletting and Assignment

• Consent Required: Tenant shall not sublet the Premises or assign this Lease without Landlord's prior written consent.
• Landlord's Discretion: Landlord's consent to a subletting or assignment shall not be unreasonably withheld.
• Assumption: Any assignee shall assume all of Tenant's obligations under this Lease.

18. Use Restrictions

• Exclusivity: [Specify any exclusivity clauses granted to Tenant.]
• Non-Compete: [Specify any non-compete restrictions imposed on Landlord.]
• Environmental Restrictions: Tenant shall not store or use any hazardous materials on the Premises without Landlord's prior written consent.
• Operational Hours: [Specify any restrictions on operational hours.]
• Noise and Nuisance: Tenant shall not create any noise or nuisance that interferes with the quiet enjoyment of other tenants.

19. Environmental Compliance

• Compliance with Laws: Tenant shall comply with all applicable federal, state, and local environmental laws and regulations.
• Hazardous Materials: Tenant shall be responsible for the proper storage, handling, and disposal of any hazardous materials used on the Premises.
• Indemnification: Tenant shall indemnify Landlord against any and all claims, losses, damages, liabilities, costs, and expenses (including attorney's fees) arising out of or in connection with Tenant's violation of any environmental laws or regulations.

20. Personal Guaranty

• Guarantor: [Guarantor Name], residing at [Guarantor Address], hereby personally guarantees the performance of Tenant's obligations under this Lease.
• Extent of Liability: The Guarantor's liability shall be [Limited/Unlimited].
• Guaranty Form: [Attach a separate guaranty agreement.]

21. Option Clauses

• Right of First Refusal: [Details of any right of first refusal granted to Tenant.]
• Purchase Option: [Details of any purchase option granted to Tenant.]
• Expansion Rights: [Details of any expansion rights granted to Tenant.]
• Relocation Rights: [Details of any relocation rights granted to Landlord.]

22. Legal Compliance

• ADA Compliance: Tenant shall be responsible for complying with the Americans with Disabilities Act (ADA) with respect to the Premises.
• Zoning and Building Codes: Tenant shall comply with all applicable zoning and building codes.
• Liquor License: [Applicable only if the Premises are used for the sale of alcoholic beverages.]
• Health and Safety: Tenant shall comply with all applicable health and safety regulations.

23. Notices

• Delivery Method: All notices under this Lease shall be in writing and shall be delivered by [Delivery Method, e.g., certified mail, personal delivery, email].
• Recipient Address:
  • Landlord: [Landlord Notice Address]
  • Tenant: [Tenant Notice Address]
• Timing and Effect: Notices shall be deemed effective upon receipt.

24. Force Majeure

• Definition: Neither party shall be liable for any delay or failure to perform its obligations under this Lease due to any cause beyond its reasonable control, including but not limited to acts of God, war, terrorism, riots, strikes, and natural disasters.
• Scope: [Optional clause specifying the scope and triggers of force majeure.]

25. Miscellaneous

• Merger/Integration: This Lease constitutes the entire agreement between the parties and supersedes all prior or contemporaneous communications and proposals, whether oral or written.
• Severability: If any provision of this Lease is held to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.
• Waiver: 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.
• Amendment: This Lease may be amended only by a written instrument signed by both parties.
• Counterparts: 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.
• Electronic Signatures: This Lease may be executed by electronic signatures, which shall be deemed valid and binding.
• Authority to Sign: Each party represents and warrants that it has the authority to enter into this Lease.

26. Ohio-Specific Terms

• Security Deposit: The security deposit shall be held in compliance with Ohio Revised Code Section 5321.16.
• Landlord Disclosure: [Include any Ohio-specific landlord disclosure requirements, such as agent for service of process, lead paint, or radon notifications.]
• Possession/Inspection Notices: [Specify timing and content of possession or inspection notices.]
• Default/Cure Periods: [Confirm cure periods align with Ohio law.]
• Summary Eviction: [Acknowledge Landlord's rights related to Summary Eviction under Ohio law.]
• Triple Damages/Attorney’s Fees: [Specify when these are or are not applicable under Ohio law.]

27. Brokerage Disclosure

• Broker: [Broker Name]
• Commission: [Specify brokerage commission terms.]

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

[Landlord Name]

By: [Signature]

Name: [Printed Name]

Title: [Title]

[Tenant Name]

By: [Signature]

Name: [Printed Name]

Title: [Title]