Oklahoma restaurant lease agreement template

Oklahoma Restaurant Lease Agreement

This Oklahoma Restaurant Lease Agreement (the "Agreement") is made and entered into as of [Date], by and between [Landlord Name/Entity Name], whose address is [Landlord Address] ("Landlord"), and [Tenant Name/Entity Name], whose address is [Tenant Address] ("Tenant").

1. Premises

• The Landlord hereby leases to the Tenant, and the Tenant hereby leases from the Landlord, the premises located at [Property Address] (the "Premises").
  • Option A: The Premises consist of approximately [Square Footage] square feet, as outlined in Exhibit A, attached hereto and incorporated herein by reference. Exhibit A includes a detailed floor plan demarcating the leased space, including seating area, kitchen, storage, restroom locations, exterior spaces such as patios, parking allocations, and trash enclosure area.
  • Option B: The Premises include the following specific areas: [List of specific areas, e.g., main dining area, kitchen, patio]. Common areas available for tenant use include: [List common areas].

2. Use of Premises

• The Premises shall be used and occupied by Tenant solely for the purpose of operating a [Type of Restaurant, e.g., full-service, quick-service] restaurant and food service business, specializing in [Type of Cuisine].
  • Option A: Tenant shall have the right to serve alcoholic beverages on the Premises, subject to obtaining and maintaining all necessary licenses and permits from the Oklahoma Alcoholic Beverage Laws Enforcement Commission (ABLE Commission) and any other applicable governmental authorities.
  • Option B: Tenant shall not sell or serve alcoholic beverages on the Premises.
  • Option C: Tenant may provide takeout and delivery services. Drive-through services are [Permitted/Not Permitted].

3. Lease Term

• The term of this Lease shall commence on [Start Date] (the "Commencement Date") and shall expire on [End Date] (the "Expiration Date"), unless sooner terminated as provided herein.
  • Option A: Tenant shall have the option to renew this Lease for [Number] additional term(s) of [Number] years each, provided Tenant gives Landlord written notice of its intention to renew at least [Number] months prior to the Expiration Date.
  • Option B: A "soft opening" period is permitted from [Start Date] to [End Date] for build-out purposes. During this period, rent shall be [Abated/Reduced by %].

4. Rent

• The base rent for the Premises shall be [Dollar Amount] per month (the "Base Rent"), payable in advance on the first day of each month, commencing on the Commencement Date.
  • Option A: In addition to the Base Rent, Tenant shall pay percentage rent equal to [Percentage]% of Tenant's gross sales exceeding [Dollar Amount] per year. Tenant shall provide Landlord with monthly sales reports by the [Day of Month] of the following month.
  • Option B: The Base Rent shall increase annually by [Percentage]% on each anniversary of the Commencement Date.
  • Option C: The Base Rent shall be subject to annual adjustments based on the Consumer Price Index (CPI). The adjustment will be calculated according to [Specify CPI and Calculation Method].

5. Security Deposit

• Tenant shall deposit with Landlord a security deposit in the amount of [Dollar Amount] (the "Security Deposit"), which shall be held by Landlord as security for the performance of Tenant's obligations under this Lease.
  • Option A: The Security Deposit shall be held in a separate escrow account at [Bank Name], in compliance with the Oklahoma Security Deposit Act for commercial property.
  • Option B: Landlord may apply the Security Deposit, or any portion thereof, to cure any default by Tenant under this Lease. Landlord shall return the remaining Security Deposit to Tenant within [Number] days after the Expiration Date or earlier termination of this Lease, less any amounts properly deducted.

6. Triple Net (NNN) Expenses

• In addition to the Base Rent, Tenant shall pay its pro rata share of all property taxes, property/casualty insurance, and common area maintenance expenses (collectively, the "NNN Expenses").
  • Option A: Tenant's pro rata share shall be [Percentage]% of the total NNN Expenses.
  • Option B: Landlord shall provide Tenant with an estimate of the NNN Expenses for each calendar year, and Tenant shall pay such estimated amount in equal monthly installments, along with the Base Rent. Landlord shall reconcile actual NNN Expenses with estimated payments annually and provide Tenant with a statement. Any overpayment by Tenant shall be credited to Tenant's next rent payment, and any underpayment shall be paid by Tenant within [Number] days of receipt of the statement.

7. Utilities

• Tenant shall be responsible for the payment of all utilities used on the Premises, including but not limited to gas, electricity (including HVAC/hood system), water, sewer/grease trap (in accordance with Oklahoma Department of Environmental Quality requirements), garbage/waste, pest control, internet/phone/technology.
  • Option A: Tenant is responsible for securing and maintaining a contract with a licensed waste oil removal company to ensure proper grease trap maintenance and waste oil disposal, in accordance with municipal rules.
  • Option B: Landlord shall provide water and sewer services, and Tenant shall reimburse Landlord for its pro rata share of the costs.

8. Tenant Improvements

• Tenant shall be responsible for all tenant improvements necessary to prepare the Premises for its restaurant operation, including but not limited to kitchen build-out, exhaust hood installation, fire suppression system, walk-in coolers, grease traps, and ADA-compliant restrooms.
  • Option A: All plans and specifications for tenant improvements must be submitted to Landlord for approval prior to commencement of any work. Landlord shall not unreasonably withhold its approval.
  • Option B: All tenant improvements shall be performed by Oklahoma-licensed contractors.
  • Option C: Tenant shall be responsible for obtaining all necessary permits and approvals from the City of [City Name] and the Oklahoma Department of Health.

9. Maintenance and Repair

• Landlord shall be responsible for maintaining the roof, foundation, and exterior walls of the building.
  • Option A: Tenant shall be responsible for maintaining the interior of the Premises, including all equipment, fixtures, and personal property.
  • Option B: Tenant is responsible for maintenance and repair of the HVAC system. Landlord is responsible for replacement, if required.

10. Insurance

• Tenant shall maintain commercial general liability insurance, property insurance, and business interruption insurance, with minimum limits of [Dollar Amount].
  • Option A: Tenant shall name Landlord as an additional insured on its commercial general liability insurance policy.
  • Option B: If Tenant serves alcohol, Tenant must maintain liquor liability insurance with minimum limits of [Dollar Amount].
  • Option C: Tenant shall provide Landlord with a certificate of insurance evidencing the required coverage prior to the Commencement Date and annually thereafter.

11. Assignment and Subletting

• Tenant shall not assign this Lease or sublet the Premises without the prior written consent of Landlord, which consent shall not be unreasonably withheld.
  • Option A: Any assignment or subletting shall be subject to the terms and conditions of this Lease.
  • Option B: A change in control of Tenant, if Tenant is a corporation, partnership, or limited liability company, shall be deemed an assignment for purposes of this section.

12. Default

• The occurrence of any of the following events shall constitute a default by Tenant under this Lease:
  • Failure to pay rent or other charges when due.
  • Failure to comply with any other term or condition of this Lease.
  • Abandonment of the Premises.
  • Tenant filing for bankruptcy or insolvency.

13. Remedies

• Upon the occurrence of any event of default, Landlord shall have the right to terminate this Lease and re-enter the Premises, subject to Oklahoma statutory notice requirements.
  • Option A: Landlord shall have the right to re-let the Premises and recover from Tenant any deficiency between the rent reserved in this Lease and the rent received from the re-letting.
  • Option B: Landlord's remedies shall be cumulative and not exclusive.

14. Condemnation

• If the Premises are taken by eminent domain or condemnation, this Lease shall terminate as of the date of the taking.
  • Option A: Tenant shall be entitled to receive any award for the value of its leasehold improvements and business interruption.
  • Option B: Landlord shall be entitled to receive any award for the value of the land and building.

15. 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 or relating to Tenant's use of the Premises, including but not limited to claims for personal injury, property damage, and foodborne illness.

16. Governing Law

• This Lease shall be governed by and construed in accordance with the laws of the State of Oklahoma.

17. 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.

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

Landlord:

[Landlord Name/Entity Name]

By: [Landlord Signature]

Name: [Landlord Printed Name]

Title: [Landlord Title]

Tenant:

[Tenant Name/Entity Name]

By: [Tenant Signature]

Name: [Tenant Printed Name]

Title: [Tenant Title]