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Do you own a business that requires commercial space? If you do you’ll need a commercial lease. A commercial lease is a legally binding contract made between the company (the ‘tenant’) and the landlord. When negotiating a commercial lease with the landlord, it is crucial to keep in mind the essential elements for creating one as they tend to be more demanding than creating a mere contract. So what are the essential elements? The Parties. It cannot be emphasized enough that the legal names of the parties are correct and that it is clear who is involved in the lease. For example, you may be negotiating with a subsidiary company instead of a parent company, meaning the liabilities and the remedies would be limited. The subject details the location of the property. Generally, providing the address of the property is sufficient. However, what constitutes part of the property may be a question to consider. For example – are air-conditioners considered to be property? This should be clarifie...
