Three Types of Florida Commercial Leases
Renting commercial real estate is a major step in the growth of your business, and the details of your commercial lease could ultimately impact the success or failure of your business venture. There are three main types of leases that are typically used when renting commercial space. Commercial leases are almost always incredibly complex and intricate legal documents that should only be negotiated and reviewed by an expert in business and real estate law. In Altamonte Springs, The Soto Law Office zealously advocates for clients seeking to lease a commercial space for their companies. Call the office or contact us today to schedule a consultation of your legal needs.
Full Service Commercial Lease
A full service commercial lease, also known as a gross lease, has the tenant pay the same amount in rent every month. While this is the simplest type of lease, it may also exclude a lot of hidden costs in the terms of the agreement. You must review the lease to see whether items like utilities, pest control, and maintenance are included in the set rent amount or if the business is required to pay separately for those expenses.
Modified Gross Commercial Lease
A modified gross commercial lease is similar to a full service commercial lease, where the tenant pays a flat rent for use of the space. However, in a modified gross commercial lease, the tenant also pays for specific, agreed-upon additional expenses like minor repairs or maintenance, while the landlord covers all other costs like property taxes and insurance. With a modified gross commercial lease, all additional expenses covered by the tenant must be explicitly stated in the lease agreement.
Net Commercial Lease
In a net commercial lease, the landlord and tenant of the commercial space share in the costs of taxes, building maintenance, and insurance on the space. A net lease can either be a single, double, or triple net commercial lease. A single net lease requires the tenant to pay rent and property taxes on the space while the landlord pays for the utilities, maintenance, and related building costs. A double net lease requires the tenant to pay rent, property taxes, and insurance on the space. A triple net lease includes paying rent, property taxes, insurance, and building maintenance for the commercial space. An experienced business and real estate attorney will be able to review the terms of your commercial lease agreement and explain exactly what you are expected to pay for per the agreement.
Call or Contact the Office Now
If you would like top-tier legal advice and review of a commercial lease for your business, The Soto Law Office is prepared to offer a wide range of legal services to meet your business needs. Call the office or contact us today to schedule a consultation.