South Dakota retail lease agreement template

South Dakota Retail Lease Agreement

This Retail Lease Agreement (the "Lease") is made and entered into as of [Date], by and between [Landlord Name], a [Landlord Entity Type, e.g., Limited Liability Company], with its principal place of business at [Landlord Address] (hereinafter referred to as "Landlord"), and [Tenant Name], a [Tenant Entity Type, e.g., Corporation], with its principal place of business at [Tenant Address] (hereinafter referred to as "Tenant"). If Landlord or Tenant is an entity, include state of formation and registration number, e.g., "a South Dakota Limited Liability Company, registration number ABC123".

1. Premises

The Landlord leases to the Tenant, and the Tenant leases from the Landlord, the following described premises (the "Premises"):

• [Street Address], [Suite/Unit Number], [City], South Dakota, [Zip Code].
• Legal Description: [Legal Description of Property as recorded in County Records].
• Square Footage: Approximately [Square Footage] square feet.
• The Premises is further depicted on Exhibit A attached hereto and made a part hereof.
• Designated Parking Spaces: [Number] parking spaces, located [Location of Parking Spaces].
• Designated Storage Spaces: [Storage Space Description, or "None"].

2. Use of Premises

The Premises shall be used and occupied solely for the purpose of conducting a retail business specializing in [Specific Retail Business, e.g., sale of clothing and accessories].

• Option A: The Tenant shall not use the Premises for any other purpose without the prior written consent of the Landlord.
• Option B: Permitted Uses: [List of specific permitted uses, including types of products and services].

Prohibited Uses: [List of prohibited uses, e.g., adult entertainment, gambling, industrial uses].

Exclusivity Clause: [Specific Exclusivity Clause, e.g., Landlord agrees not to lease space in the Shopping Center to another business selling [specific product]]. If none, state "None". Specify radius restrictions (e.g., within a 1-mile radius).

Hours of Operation: [Specify days and hours of operation, e.g., Monday-Saturday, 9:00 AM to 9:00 PM, Sunday 12:00 PM to 5:00 PM].

ADA Compliance: The Tenant shall comply with all applicable requirements of the Americans with Disabilities Act (ADA) as it applies in South Dakota.

3. 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: Renewal Option: 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 at least [Number] months prior to the Expiration Date. Renewal terms shall be at market rate at time of renewal.
• Option B: No Renewal Option: There shall be no renewal options under this Lease.

Early Termination: [Specify conditions for early termination and any associated penalties. If none, state "None"]. For example, "Tenant may terminate this lease early by providing Landlord 6 months written notice and paying a termination fee equal to [Number] months of rent".

4. Rent

The initial base rent shall be [Dollar Amount] per year, payable in equal monthly installments of [Dollar Amount], payable in advance on the first day of each month during the term of this Lease.

• Option A: Rent Escalation: The base rent shall increase by [Percentage]% per year, commencing on [Date].
• Option B: Percentage Rent: In addition to the base rent, Tenant shall pay Landlord [Percentage]% of gross sales exceeding [Dollar Amount] per year.

Rent Payment Method: Rent shall be payable to Landlord at [Payment Address] or by [Accepted Payment Methods, e.g., check, electronic transfer].

Late Payment Fee: A late payment fee of [Dollar Amount or Percentage]% shall be charged for any rent payment received more than [Number] days after the due date.

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. The security deposit shall be returned to Tenant within [Number] days after the termination of this Lease, less any deductions for damages or unpaid rent. Security deposits are subject to South Dakota restrictions on commingling and interest.

5. Additional Charges

Common Area Maintenance (CAM): Tenant shall pay its pro rata share of CAM expenses, which shall be [Percentage]% of the total CAM expenses for the property. CAM expenses include [List of CAM expenses, e.g., landscaping, snow removal, parking lot maintenance].

Utilities: Tenant shall be responsible for the payment of all utilities serving the Premises, including [List of Utilities, e.g., electricity, gas, water, sewer, trash].

Property Taxes: Landlord shall pay property taxes.

• Option A: Tax Increase Pass-Through: If property taxes increase during the term of this Lease, Tenant shall pay its pro rata share of the increase, which shall be [Percentage]%.
• Option B: Landlord shall be solely responsible for all property taxes.

6. Tenant Improvements

Tenant shall obtain Landlord's written approval for any and all tenant improvements.

All tenant improvements must comply with all applicable South Dakota building codes and regulations.

Upon termination of this Lease, all tenant improvements shall [Choose one: remain with the Premises/be removed by Tenant].

If Tenant removes, they are responsible for repairing all damage.

7. Signage

Tenant shall have the right to install signage on the Premises, subject to Landlord's approval and compliance with all applicable South Dakota and municipal sign codes.

All signage shall be professionally installed and maintained by Tenant at its sole expense.

Landlord reserves the right to approve the size, design, and location of all signage.

8. Merchants' Association

[If the Premises is located within a multi-tenant retail property:] Tenant shall participate in the Merchants' Association (if one exists) and shall pay all dues and assessments required by the association.

The Merchants' Association dues are currently [Dollar Amount] per [Month/Year].

[If the Premises is not located within a multi-tenant retail property:] Not applicable.

9. Subletting and Assignment

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

• Option A: Landlord Right of First Refusal: Landlord shall have the right of first refusal to sublet or assign the Lease to any proposed subtenant or assignee.
• Option B: Landlord must reasonably accept assignment or sublease unless they have legitimate business reason to deny.

Landlord may recapture the premises if tenant assigns or sublets the lease.

10. Insurance

Landlord shall maintain property insurance on the building.

Tenant shall maintain business liability insurance with a minimum coverage of [Dollar Amount] per occurrence and property insurance covering Tenant's personal property and improvements.

Tenant shall provide Landlord with a certificate of insurance evidencing such coverage prior to the Commencement Date and upon each renewal of the policy.

Tenant must name landlord as an additional insured on their liability policy.

11. Taxes

Tenant shall be responsible for the payment of all sales and use taxes arising from its business operations on the Premises.

Tenant shall be responsible for any business privilege or gross receipts tax levied by the State of South Dakota or any local municipality.

12. Indemnification

Tenant shall indemnify and hold harmless Landlord from and against any and all claims, losses, damages, liabilities, and expenses arising out of Tenant's use of the Premises or Tenant's breach of this Lease.

13. Hazardous Materials

Tenant shall not use, store, or dispose of any hazardous materials on the Premises in violation of any applicable South Dakota environmental laws and regulations.

Tenant shall immediately notify Landlord of any spills or releases of hazardous materials on the Premises.

14. 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, including eviction and recovery of damages, as provided by South Dakota law.

Landlord must provide Tenant with written notice of default and an opportunity to cure the default within [Number] days.

15. Casualty

If the Premises are damaged by fire or other casualty, Landlord shall have the option to repair the Premises, in which case this Lease shall continue in full force and effect.

If the Premises are rendered untenantable as a result of the casualty, Tenant's rent shall be abated until the Premises are restored.

16. Governing Law and Venue

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

The exclusive venue for any action arising out of or relating to this Lease shall be the state courts located in [County Name] County, South Dakota.

17. Delivery of Possession

Landlord shall deliver possession of the Premises to Tenant on the Commencement Date in broom-clean condition.

Tenant shall return the Premises to Landlord in the same condition, ordinary wear and tear excepted, upon the termination of this Lease.

18. Rules and Regulations

Tenant shall comply with all rules and regulations attached hereto as Exhibit B and made a part hereof. (See content generation notes for the kind of retail-specific details to include)

19. Permits and Licenses

Tenant is responsible for obtaining all required permits and licenses to operate their business.

20. Entire Agreement

This Lease constitutes the entire agreement between the parties 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]

By: [Landlord Signature]

[Landlord Printed Name]

[Landlord Title]

Tenant:

[Tenant Name]

By: [Tenant Signature]

[Tenant Printed Name]

[Tenant Title]

Exhibit A: Depiction of Premises (Attach site plan or diagram showing the layout of the premises)

Exhibit B: Rules and Regulations (Include details relevant to retail operation (e.g., restrictions on loud music, use of A-frame signs, grease trap specifications for food operations, window display requirements, and storage limitations), prohibitions on hazardous or illegal activities, noise restrictions, loading/unloading protocols, and restrictions on sidewalk sales or outdoor merchandise in compliance with local ordinances).