Rhode Island commercial lease agreement template

Rhode Island Commercial Lease Agreement

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

Landlord Entity Type:

• Option A: Individual
• Option B: Corporation
• Option C: Limited Liability Company (LLC)
• Option D: Partnership

Tenant Entity Type:

• Option A: Individual
• Option B: Corporation
• Option C: Limited Liability Company (LLC)
• Option D: Partnership

Premises

The Landlord leases to the Tenant, and the Tenant leases from the Landlord, the premises located at [Property Address], including unit/suite number [Unit Number], containing approximately [Square Footage] square feet (the "Premises"). The legal description of the Premises is [Legal Description].

Permitted Use:

• Option A: The Premises shall be used solely for [Permitted Use Description].
• Option B: The Premises shall be used for any lawful purpose.

Common Areas:

• Option A: Tenant shall have the right to use the common areas, including [List of Common Areas], subject to Landlord's rules and regulations.
• Option B: There are no common areas associated with this lease.

Lease Term

The term of this Lease shall commence on [Start Date] and shall expire on [End Date], unless sooner terminated as provided herein.

Lease Term Type:

• Option A: Fixed Term
• Option B: Month-to-Month
• Option C: Year-to-Year

Early Termination Option:

• Option A: Tenant shall have the option to terminate this Lease early by providing [Number] months' written notice to Landlord and paying a termination fee of [Amount].
• Option B: No early termination option is available.

Renewal Option:

• Option A: Tenant shall have the option to renew this Lease for an additional term of [Number] years by providing written notice to Landlord not less than [Number] months prior to the expiration date.
• Option B: No renewal option is available.

Rent

The Tenant shall pay to the Landlord as base rent for the Premises the sum of [Rent Amount] per [Payment Frequency: e.g., month], payable in advance on the [Day] day of each [Payment Frequency: e.g., month] commencing on [Start Date].

Payment Method:

• Option A: Rent shall be payable by check or money order.
• Option B: Rent shall be payable by electronic funds transfer (EFT).

Late Fee:

• Option A: If rent is not received within [Number] days of the due date, a late fee of [Amount] shall be charged.
• Option B: No late fee will be charged.

Returned Check Fee:

• Option A: A fee of [Amount] will be charged for any returned check.
• Option B: A fee of [Amount] or the maximum amount permitted by Rhode Island law, whichever is less, will be charged for any returned check.

Rent Escalation:

• Option A: The base rent shall increase by [Percentage]% annually.
• Option B: The base rent shall be adjusted annually based on the Consumer Price Index (CPI). The adjustment will be calculated as follows: [CPI Calculation Details].
• Option C: No rent escalation.

Rent Abatement:

• Option A: Tenant shall receive a rent abatement for the first [Number] months of the lease term.
• Option B: No rent abatement.

Operating Expenses

This Lease shall be a [Lease Type: e.g., Gross, Modified Gross, Triple Net (NNN)] Lease.

Lease Type Options:

• Option A: Gross Lease: Landlord shall pay all operating expenses.
• Option B: Modified Gross Lease: Landlord shall pay [Landlord Pays List], and Tenant shall pay [Tenant Pays List].
• Option C: Triple Net (NNN) Lease: Tenant shall pay all operating expenses, including real estate taxes, property insurance, and common area maintenance.

Real Estate Taxes:

• Option A: Landlord shall pay real estate taxes.
• Option B: Tenant shall pay real estate taxes.

Property Insurance:

• Option A: Landlord shall pay property insurance.
• Option B: Tenant shall pay property insurance.

Utilities:

• Option A: Landlord shall pay for utilities.
• Option B: Tenant shall pay for utilities.

Maintenance & Repairs:

• Option A: Landlord is responsible for all maintenance and repairs.
• Option B: Tenant is responsible for all maintenance and repairs.
• Option C: Landlord is responsible for structural maintenance and repairs, and Tenant is responsible for non-structural maintenance and repairs.

Common Area Maintenance (CAM):

• Option A: Landlord shall pay for CAM.
• Option B: Tenant shall pay for CAM. Tenant's share of CAM shall be [Percentage]% of the total CAM expenses.

Pest Control:

• Option A: Landlord shall be responsible for pest control.
• Option B: Tenant shall be responsible for pest control.

Snow Removal:

• Option A: Landlord shall be responsible for snow removal.
• Option B: Tenant shall be responsible for snow removal.

Landscaping:

• Option A: Landlord shall be responsible for landscaping.
• Option B: Tenant shall be responsible for landscaping.

Use Restrictions

Tenant shall use the Premises only for the Permitted Use as described in Section 2 above, and in compliance with all applicable zoning laws, municipal ordinances, and Rhode Island state laws.

Prohibited Uses:

• Option A: The following uses are specifically prohibited: [List of Prohibited Uses].
• Option B: There are no prohibited uses beyond those prohibited by law.

Exclusive Use:

• Option A: Landlord grants Tenant exclusive use for [Specific Use] within the [Building/Property].
• Option B: No exclusive use is granted.

Change of Use:

• Option A: Tenant may change the use of the Premises only with Landlord's prior written consent, which shall not be unreasonably withheld.
• Option B: Tenant may not change the use of the Premises without Landlord's prior written consent, which may be withheld for any reason.

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.

Approval Process:

• Option A: Tenant shall submit detailed plans and specifications for any proposed alterations or improvements to Landlord for approval.
• Option B: Tenant shall only be required to notify Landlord of proposed alterations and improvements.

Restoration:

• Option A: Tenant shall restore the Premises to its original condition upon lease termination, reasonable wear and tear excepted.
• Option B: Tenant shall not be required to restore the Premises to its original condition upon lease termination.

Ownership of Fixtures:

• Option A: All fixtures and improvements installed by Tenant shall become the property of Landlord upon lease termination.
• Option B: All fixtures and trade fixtures installed by Tenant shall remain the property of Tenant and may be removed upon lease termination, provided Tenant repairs any damage caused by such removal.

Signage:

• Option A: Tenant may install signage on the Premises subject to Landlord's approval and all applicable laws and regulations.
• Option B: Tenant may not install any signage on the Premises.

Maintenance and Repairs

Landlord and Tenant shall be responsible for maintenance and repairs as follows:

Landlord's Responsibilities:

• Option A: Landlord shall maintain the structural elements of the Premises, including the roof, foundation, and exterior walls.
• Option B: Landlord is responsible for HVAC maintenance.

Tenant's Responsibilities:

• Option A: Tenant shall maintain the interior of the Premises in good order and repair, including all fixtures, equipment, and improvements.
• Option B: Tenant is responsible for any damage to the property caused by the tenant or their guests.

Common Areas: Landlord shall maintain the common areas in good order and repair.

Cost Allocation: Costs for maintenance and repairs shall be allocated as follows: [Detailed Cost Allocation].

Assignment and Subletting

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

Landlord's Consent: Landlord's consent to any assignment or subletting shall not be unreasonably withheld, conditioned, or delayed.

Right of First Refusal:

• Option A: Landlord shall have a right of first refusal to any proposed assignment or subletting.
• Option B: No right of first refusal is granted.

Prohibited Transfers:

• Option A: Any assignment or subletting without Landlord's prior written consent shall be void.
• Option B: Any change of control of Tenant entity shall be deemed an assignment under this lease.

Security Deposit

Tenant shall deposit with Landlord the sum of [Security Deposit Amount] as a security deposit, 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 any amounts necessary to cover damages to the Premises, unpaid rent, or other amounts due under this Lease, subject to Rhode Island law.

Interest: Landlord is [Required/Not Required] to pay interest on the security deposit, as required by Rhode Island law. If required, the interest rate is [Interest Rate].

Return of Deposit: Landlord shall return the security deposit to Tenant, less any lawful deductions, within [Number] days after the termination of this Lease and Tenant's surrender of the Premises, as required by Rhode Island law.

Escrow:

• Option A: Landlord shall hold the security deposit in an escrow account as required by Rhode Island General Laws Section 34-18-20.
• Option B: Landlord shall hold the security deposit according to the requirements of Rhode Island law.

Insurance

Tenant shall maintain commercial general liability insurance with limits of not less than [Liability Insurance Amount] per occurrence and [Aggregate Insurance Amount] in the aggregate.

Property Insurance:

• Option A: Tenant shall maintain property insurance covering the Premises and Tenant's personal property.
• Option B: Landlord shall maintain property insurance covering the Premises.

Business Interruption Insurance:

• Option A: Tenant shall maintain business interruption insurance.
• Option B: Tenant is not required to maintain business interruption insurance.

Additional Insured: Landlord shall be named as an additional insured on Tenant's liability insurance policy.

Certificates of Insurance: Tenant shall provide Landlord with certificates of insurance evidencing the required coverage.

Indemnification

Tenant shall indemnify and hold harmless Landlord from and against any and all claims, losses, damages, liabilities, and expenses (including reasonable attorneys' fees) arising out of or relating to Tenant's use of the Premises, except to the extent caused by Landlord's negligence or willful misconduct. Landlord shall indemnify and hold harmless Tenant from and against any and all claims, losses, damages, liabilities, and expenses (including reasonable attorneys’ fees) arising out of or relating to Landlord’s negligence or willful misconduct.

Damage and Destruction

If the Premises are damaged or destroyed by fire or other casualty, Landlord shall have the option to restore the Premises or terminate this Lease.

Restoration: If Landlord elects to restore the Premises, rent shall abate during the period of restoration.

Termination: If Landlord elects to terminate this Lease, this Lease shall terminate as of the date of the casualty.

Insurance Proceeds: Landlord shall be entitled to all insurance proceeds.

Condemnation

If the Premises are taken by eminent domain, this Lease shall terminate as of the date of the taking.

Allocation of Award: The condemnation award shall be allocated between Landlord and Tenant as follows: [Condemnation Award Allocation Details].

Compliance with Laws

Tenant shall comply with all applicable laws, ordinances, rules, and regulations, including, but not limited to, the Americans with Disabilities Act (ADA) and all environmental laws.

ADA Compliance: Tenant shall be responsible for ensuring that the Premises comply with the ADA.

Hazardous Materials: Tenant shall not store or use any hazardous materials on the Premises without Landlord's prior written consent and in compliance with all applicable laws and regulations.

Landlord's Entry

Landlord shall have the right to enter the Premises at reasonable times to inspect the Premises, make repairs, or show the Premises to prospective tenants or purchasers, upon providing Tenant with reasonable notice, except in cases of emergency.

Notice Requirement: Landlord shall provide Tenant with [Number] hours' notice prior to entering the Premises, except in cases of emergency.

Permissible Reasons: Landlord may enter the Premises for the following reasons: [List of Permissible Reasons].

Hours of Access: Landlord may access the Premises during normal business hours.

Default and Remedies

If Tenant fails to pay rent or otherwise breaches this Lease, Landlord shall have the right to pursue all available remedies, including, but not limited to, termination of this Lease, repossession of the Premises, and recovery of damages.

Events of Default: The following shall constitute events of default: [List of Events of Default].

Landlord's Remedies: Upon the occurrence of an event of default, Landlord shall have the following remedies: [List of Landlord's Remedies].

Cure Period: Tenant shall have [Number] days to cure any default after receiving written notice from Landlord.

Termination and Surrender

Upon the expiration or earlier termination of this Lease, Tenant shall surrender the Premises to Landlord in good condition, reasonable wear and tear excepted.

Holdover Tenancy: If Tenant holds over after the expiration or termination of this Lease, such holdover shall be deemed a month-to-month tenancy, subject to the terms and conditions of this Lease, except that the rent shall be [Percentage]% of the then-current rent.

Restoration Requirements: Tenant shall restore the Premises as per Section 6, unless otherwise agreed in writing.

Mechanic's Liens

Tenant shall not permit any mechanic's liens to be filed against the Premises as a result of Tenant's actions. If any such lien is filed, Tenant shall promptly discharge it.

Dispute Resolution

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

Governing Law: This Lease shall be governed by and construed in accordance with the laws of the State of Rhode Island.

Venue: Venue for any action relating to this Lease shall be in [County Name] County, Rhode Island.

ADA Compliance

Tenant is responsible for ADA compliance concerning the tenant's specific use of the property. Landlord makes no warranty about the existing ADA compliance.

Notices

All notices under this Lease shall be in writing and shall be deemed to have been duly given when delivered personally, sent by certified mail, return receipt requested, or sent by reputable overnight courier service to the addresses set forth above.

Notice Address:

• Landlord: [Landlord Notice Address]
• Tenant: [Tenant Notice Address]

Entire Agreement

This Lease constitutes the entire agreement between the parties and supersedes all prior or contemporaneous communications and proposals, whether oral or written.

Riders and Exhibits

The following riders and exhibits are attached to and incorporated into this Lease:

• Exhibit A: [Space Plan]
• Exhibit B: [Rules and Regulations]
• Exhibit C: [Guaranty (if applicable)]

Special Conditions

• Personal Guarantee:
  • Option A: This lease shall be personally guaranteed by [Guarantor Name].
  • Option B: This lease is not subject to a personal guarantee.
• Right of First Refusal (Purchase)
  • Option A: If Landlord decides to sell the property, Tenant shall have right of first refusal to purchase.
  • Option B: Tenant does not have a right of first refusal to purchase.

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

[Landlord Signature]

[Landlord Printed Name]

[Tenant Signature]

[Tenant Printed Name]