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Commonly Asked Questions about Commercial Office Lease Agreements

Gross leases are most common for commercial properties such as offices and retail space. The tenant pays a single, flat amount that includes rent, taxes, utilities, and insurance. The landlord is responsible for paying taxes, utilities, and insurance from the rent fees.
Triple Net Lease (NNN Lease) Triple net leases are one of the most widely used types of commercial real estate leases. In this arrangement, the tenant pays rent, a share of property taxes, a share of insurance, and a fixed fee for common area maintenance and operating expenses.
An office space lease is a legally binding contract between a landlord and a tenant for renting commercial real estate specifically designated for office use. People looking for an office to initiate businesses must consider signing an official space lease for convenience of the terms and conditions.
Typically, assets rented under operating leases include real estate, aircraft, and equipment with long, useful life spanssuch as vehicles, office equipment, or industry-specific machinery.
Gross Lease Gross leases work well if you are renting office space or retail space in a mall. The lease is calculated to include your share of all of the common operating costs of the space. In other words, your rent will include a prorated share of real estate tax, utilities, building insurance and janitorial costs.
Compare Commercial Lease Agreements Gross leases tend to benefit the tenant, whereas net leases are more landlord friendly. In a gross lease, the tenant has more control over how much is spent on such expenses as janitorial services and utilities.
Describe the subject of the agreement (an office to be leased) in detail. Here youll include the address, location, office size, along with all additional amenities. The Landlord leases to the Tenant the property (Herein, the Premises) located at (insert property address).
Net leases A triple net lease, sometimes known as an NNN lease, is the most common type of commercial lease. A triple net lease is a lease whose monthly rent fee does not include operating expenses. Typical operating expenses include insurance, utilities, property taxes and maintenance costs.