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A commercial lease agreement is a contract between a landlord and tenant for renting office or industrial space, typically lasting three to five years with renewal options. Commercial leases are generally longer than residential ones and may vary in expense allocations. There are two main types of commercial leases: a gross lease, where expenses are included in the base rent with no additional rent, and a net lease, where the tenant pays a base rent plus real estate taxes, insurance, and maintenance costs. The specifics of a commercial lease can also vary based on state and local laws.