Office Lease Agreement

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Allows a Landlord to rent an unfurnished office to a tenant.

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An Office Lease Agreement (Unfurnished) should be used whenever you want to lease/rent office space in a building to another party (i.e. a Tenant) in your state. This document memorializes the agreement in writing and sets forth many important terms including the lease amount, the lease period and the rights and obligations of the Landlord and the Tenant.

It is always advisable to have a written office lease agreements so that the respective rights and obligations of each party are clearly stated in the agreement. This helps in dealing with key issues and thereby avoiding any misunderstanding and disputes.

Among others, this form includes the following provisions:
  • Lease Premises and Terms of Lease: Identifies the property, and the extent of use of the property.
  • Common Areas: Defines and describes the common areas and the use of those areas.
  • Rent Payments, Late Fees: Sets out the amount of rent, when it is to be paid, and any penalties for late payment
  • Security Deposit: Provides for the amount of security deposit, and the conditions upon which it will be returned
  • Default: What constitutes default, what are consequences of default
  • Signage and Signs: Sets out the rules for signage and lighted signs
  • Janitorial Service: Provides for janitorial services
  • Quiet Enjoyment: Promise that tenant may peaceably and quietly enjoy the premises
  • Insurance: Sets out the insurance requirements
  • Assignment and Subletting: Defines conditions of assignment and subletting of property
This attorney-prepared packet contains:
  1. Information and Instructions for Office Lease Agreement (Unfurnished);
  2. Office Lease Agreement (Unfurnished);
  3. "Exhibit A Plansâ?Ł cover sheet;
State Law Compliance: This form can be used in your state
This is the content of the form and is provided for your convenience. It is not necessarily what the actual form looks like and does not include the information, instructions and other materials that come with the form you would purchase. An actual sample can also be viewed by clicking on the "Sample Form" near the top left of this page.













Office Lease Agreement
Unfurnished







This Packet Includes:
1. General Instructions
2. Information
3. Office Lease Agreement - Unfurnished





General Instructions
Office Lease Agreement - Unfurnished

   A Lease Agreement for Office Space is an agreement where one party (a “Lessor” also known as Landlord) agrees to lease/rent office space(s) in a building he/she/it owns to another party (a “Lessee” also known as a Tenant) for a specified time.

   An oral agreement when renting or leasing a property is a bad practice. While oral promises can be legally binding, it can be difficult if not impossible to prove them to a judge. It is always advisable to have a written office lease agreements so that the respective rights and obligations of each party are clearly stated in the agreement. This helps in dealing with key issues and thereby avoiding any misunderstanding and disputes. A written form of agreement is always preferred because that it is the best form of a proof to a tribunal or a judge to address any grievance or take a legal recourse in case of disputes. Hence, both the Lessor and Lessee must sign the Lease.  Two originally copies should be made (one for the Lessor and one for the Lessee).

   Among other issues, the Lease Agreement for Office Space will address the following:

   Duration of lease, an option to renew and how the lease can be terminated by either party by written notice.

   The responsibilities of the Lessee to pay the rent, security deposit (if any), taxes, license fees, etc. relative to its business, utilities, operating, and repair costs.



   The respective responsibilities of the Lessee and Lessor toward maintaining the premises in good condition and the expenses toward the same.




Information
Office Lease Agreement - Unfurnished

1)  Premises  The premises stated in the lease needs to be defined clearly. Extra facilities such as parking and common areas (e.g. bathrooms, toilets, pathways conferences, etc.) should be clearly mentioned if these are included in the premises. If necessary, attach a schematic of the building, property or floor plan.

2) Term  The length of the lease has a significant impact on the rental rate.  If a Lessor chooses to offer an option to renew the term of the Lease Agreement, it should be mentioned very clearly when the renewal occurs and the terms thereafter.  An option to renew clause is included this agreement an optional provision and can be deleted.

3) Security Deposits/ Late Payments  Security deposits and late payment penalties are optional provisions.  Lessors under an office lease typically require a security deposit for performance of Lessors lease obligations which is generally equal to one or two month's rent, but a Lessor may insist on more if the company is new or financially unstable.  Please note that security deposits and late payment penalties are governed by state law.  Be sure to research your states laws before finalizing these provisions.

4)  Insurance  This is an optional provision.  If you choose not to require your Tenant to maintain and insurance policy, or if you require additional insurance, alter this provision to correspond with your needs.

5) Use Clause  A use clause signifies how the space can and cannot be used.  Because Lessors want to protect their property, their interpretation of usage may infringe upon a Lessees ability to adequately conduct its business. A broader use clause is advisable because Lessees business may grow and its business model may change.  In addition, a narrow use clause can often serve as a restriction on Lessees ability to assign or sublet the space.

6) Lessee Improvements and Alterations  A broader clause is advisable where it clearly states the respective obligations of the Lessee and Lessor, their limitations of cost, and the scope of alterations permitted, etc. This clause should be fair and not too restrictive on the Lessee.









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LEASE AGREEMENT FOR OFFICE SPACE



This Lease Agreement (“Lease” or “Agreement”), entered into effective ____________ [date], by and between _______________ [name], a __________ corporation with its principal offices located in __________________ [city], [County, __________] (“Lessor”), and _______________________ [name], a __________ corporation, with principal offices located in ______________ [County, __________] (“Lessee”) provides as follows:

The parties agree as follows:

1.   PREMISES.  
Lessor hereby agrees to Leased to Lessee, and Lessee hereby leases from Lessor, the following described premises:

That certain ___________ square feet of floor space on the ___________ floor of the office building located on that parcel commonly referred to as [name of office building] (“Building”) located on the Parcel ________________________ in ___________________ [Name of City], [County, __________], as outlined in red on Exhibit "A" attached hereto and made a part of this Leased for description purposes, more commonly known as Suite ___________, which floor space shall be finished substantially in accordance with the plans and specifications attached to this Lease as Exhibit "A" ("Plans").

2.   COMMON AREAS. 

Lessee shall also have the nonexclusive right, in common with others, to the use of common entrance ways, lobbies, corridors, lavatories, elevators, ramps, stairs and similar access and service ways in and adjacent to the Building. In addition, Lessee shall have [the non-exclusive right to use three (3) parking spaces in the parking lot adjacent to the Building, as well as] the right to use certain conference rooms in the Building by prior arrangement with Lessor, based upon availability.  All Common Areas shall be subject to the exclusive control and management of  Lessor and  Lessor shall have the right, from time to time, to establish, modify, and enforce rules and regulations with respect thereto.

3.  TERM; ACCEPTANCE; RENEWAL & HOLDOVER.

   A.   Initial Term: This Lease shall be for an Initial Term of ______ (__) months commencing at noon on ______________ ("the Commencement Date") and terminating at noon on ____________________ (the "Expiration Date").

   B.   Acceptance:  By conducting business from the Leased Premises, Lessee shall be deemed to have accepted the Premises in their then present condition and to have acknowledged that Lessor has fulfilled its obligation to make all improvements to the Premises in accordance with any agreement, whether oral or written, between the parties.
C.    Commencement and Termination Dates:  Lessor and the Lessee shall, upon the request of either of them, execute an Agreement in recordable form expressing the Commencement and Termination Dates of the Term of this Lease.

D.    Renewal Term:  Lessee is hereby given an option to renew this Leased for an additional term of two (2) years by giving Lessor written notice on or before ninety (90) days before the expiration of the primary term of this Leased.  The renewal of lease is to be upon the same terms, covenants, and conditions contained in this Lease except as to Rent as provided in Paragraph 4 below and Lessee Improvements.

E.  Holdover: In the event Lessee remains in possession of the Leased Premises after the expiration or termination of the Lease, without the execution of a lease renewal or new lease, Lessee shall be deemed to be occupying the Premises as a Lessee from month-to-month subject to all conditions, provisions, and obligations of this Lease, insofar as the same can be applicable to a month-to-month tenancy, cancelable by either party upon thirty (30) days written notice to the other, except that the rent shall increase by __ percent (__%) over the rent for  the last month of the Lease, and Lessor may increase the rent on 30 days' written notice to Lessee.

4. RENT, LATE PAYMENT.

A. Lessee shall pay to Lessor as rent for the Premises equal monthly installments of $ ____, in advance, on the first day of each month of the term hereof. Lessee shall pay Lessor upon the execution hereof the sum of $ _____ as rent.  For renewal terms the rent shall increase ___% per year.  Rent for any period during the term hereof which is for less than one month shall be a pro rata portion of the monthly installment. Rent shall be payable without notice or demand and without any deduction, offset, or abatement in lawful money of the United States of America to Lessor at the address stated herein or to such other persons or at such other places as Lessor may designate in writing.

B. In the event that Lessee shall fail to pay any amount under this Lease when the same shall be due, such amount shall be subject to a one-time late charge of $___________ when due and thereafter shall be subject to a service charge until such amount is paid at the lesser of the rate of ____ percent (__%) per month or the highest rate permitted by law. If any payment of rent is made by check, and the check is dishonored for any reason, including but not limited to insufficient funds or uncollected funds, Lessee shall reimburse Lessor with cash, or with an official bank check in the amount of the dishonored check, plus a dishonored check fee in the amount of _%.

5.   NOTICE.

Wherever in this Leased it is required or permitted that notice or demand be given or served by either party on the other, such notice or demand shall be deemed given or served when written and hand delivered, or deposited in the United States Mail, certified, return receipt requested, postage prepaid, addressed as follows:

To Lessor at: [address]



To Lessee at: [address]





6.  PARKING:

 [If exclusive right to park is granted]

It is agreed that Lessee, its agents, servants, employees, customers, guests, and invitees, shall have the exclusive right to park without charge, throughout the original term of this Leased and any renewal term, ________ (___) automobiles in ________________ (___) designated parking spaces. Lessee agrees not to hinder the use of the remaining parking places, which are reserved for the exclusive use of the tenants of the remaining leased space in the Building.

7.   POSSESSION.  

Lessor promises to place Lessee in peaceful possession of the Premises, and Lessee, by taking possession of the Premises, will have acknowledged that the Premises are in satisfactory and acceptable condition.

8.   USE.  

The Premises shall be used and occupied only for general offices and related office use. The entire building is a smoke-free facility.

9.   COMPLIANCE WITH LAWS.  

Lessee agrees to observe all laws and governmental regulations applicable to its use of the Premises, together with all reasonable rules and regulations that may be promulgated by Lessor from time to time.

10. ALTERATIONS BY LESSEE.  

Lessee agrees that except for the Lessee Improvements contemplated in this Lease, Lessee will make no alterations to the Premises without the prior written consent of the Lessor.

11. SERVICES, UTILITIES AND FURNISHINGS.

A.  Lessor shall be responsible for maintaining the Premises.

B.  This Lease Agreement shall be a “fully serviced lease.” There shall be no common area maintenance charges, property taxes or insurance that Lessee must pay.

C. Lessor shall provide MIS services, telephone service and office furnishings for the Premises. Lessee shall pay Lessor for such services quarterly and in advance along with the Rent. For the first year, the costs of such services are: $_________(___) for computer systems ($__ per month) and $_________(___) for telephone ($___ per month). Lessor will increase such charges to reflect actual costs it incurs. Photocopying shall be billed separately to the Lessee.

12. TAX.

Lessee shall be responsible for any business license use or other taxes that may be assessed as a consequence of Lessees activities in the Premises.


13.  HAZARDOUS MATERIALS.  

Lessee shall not use the Premises, nor permit them to be used, for any purpose which shall increase the existing rate of insurance upon the Building, or cause the cancellation of any insurance policy covering the Building, or sell or permit to be kept, used, or sold in or about the Premises, any article that may be prohibited by Lessor's insurance policies or bring into or store in the Premises, any inflammable or explosive goods or materials nor any article which may expose the Premises to fire or increase the fire hazard of the building.

The Lessee shall comply with all sanitary rules and safety regulations which may be promulgated from time to time by the LESSOR and shall keep and maintain the Premises in clean and sanitary condition and dispose of all rubbish only through the means and places indicated by the Lessor for the purpose.


14. QUIET ENJOYMENT.

A. Lessee shall not commit any waste upon the Premises, nor cause any public or private nuisance or other act that may disturb the quiet enjoyment of any other tenant, nor shall Lessee allow the Premises to be used for any improper, immoral, unlawful, or unsafe purpose, including, but not limited to, the storage of any flammable materials.  

B.  Nor shall Lessee use any apparatus, machinery or device in or on said Premises that shall make any noise or cause any vibration that can be detected by other tenants, or that shall in any way be a detriment to the Building.  

15. ALTERATIONS.

Lessee further agrees that except for the Lessee Improvements contemplated in this Lease, Lessee may not make any removals, additions, improvements or other alterations in or to the Premises. Lessee will not install or construct within the Premises or Building electrical wires, water or drainpipes, machinery, or other permanently installed devices, including, but not limited to, alarm systems, private music systems, or special ventilation, without the prior written consent of Lessor.


16. HOLD HARMLESS.

A. Lessee shall hold harmless and defend Lessor, its officers, agents and employees, at Lessees sole cost with counsel reasonably satisfactory to Lessor, from and against any and all claims, damages or causes of action for damages on account of any injury to or death of any person or any loss of or damage to property occurring in, on or about the Premises at any time during the term of this Agreement, provided such injury, death, loss or damage is not directly caused by the intentional misconduct or gross negligence of Lessor, its officers, agents or employees.

B. Lessor shall hold harmless and defend Lessee, its officers, agents and employees, at Lessors sole cost with counsel reasonably satisfactory to Lessee, from and against any and all claims, damages or causes of action for damages on account of any injury to or death of any person or any loss of or damage to property occurring in, on or about the Premises at any time during the term of this Agreement, provided such injury, death, loss or damage is not directly caused by the intentional misconduct or gross negligence of Lessee, its officers, agents or employees.

C. This Section 16 shall survive the expiration or termination of this Agreement. Any subsequent attempt to change this Section 16.C must be in writing, signed by both Lessor and Lessee and expressly reference this Section.


17. INSURANCE [Optional]

A. Lessor shall obtain and maintain in effect at all times during the term of this Lease Agreement an insurance policy covering all risks of direct physical loss or damage to the Premises and Building and to all alterations, installations, additions and improvements made to or within the Building at Lessors cost and expense, to the extent of their full replacement value, as well as general comprehensive liability in an amount no less than ________________ ($____) per occurrence for bodily injury, personal injury and property damages.

B. Lessee, at Lessees expense, shall obtain and maintain in effect at all times during the term of this Agreement an insurance policy covering all risks of direct physical loss or damage to Lessees personal property in, on or about the Premises to the extent of their full replacement value, as well comprehensive general liability insurance in an amount no less than ________________ ($____) per occurrence for bodily injury, personal injury and property damages. In addition, Lessee shall maintain a program of workers compensation insurance in the amount and form to meet all applicable requirements of the Labor
Code of the State of _____________, including Employers Liability with a $__________ limit covering all persons providing services by or on behalf of Lessee and all risks to such persons under this Lease.

C. Notwithstanding any other provision of this Lease Agreement, neither Lessor nor Lessee shall be liable to the other or to any insurance company (by way of subrogation or otherwise) insuring the other party for any loss or damage to any building, structure or other tangible property, or any resulting loss of income or additional expense, even though such loss or damage might have been occasioned by the negligence of such party, its agents or employees, if such loss or damage is covered by insurance benefiting the party suffering such loss or damage or was required to be covered by insurance pursuant to this Section. If required to make the foregoing waiver of subrogation binding upon their respective insurance carriers, Lessor and Lessee shall give notice to their respective insurance carriers that such mutual waiver of subrogation is contained in this Agreement. Lessee agrees to cause all other occupants of the Building claiming by, under, or through Lessee to execute and deliver to Lessor such a waiver of claims and to obtain such waiver of subrogation rights endorsements.


18. LESSOR'S RIGHT TO INSPECT.  

Lessee agrees that Lessor and its authorized representatives has the right to enter the Premises at any time during emergencies or at all reasonable times during usual business hours upon twenty-four (24) hours notice to Lessee, for the purpose of inspection, or for the making of any necessary repairs for which the Lessor is responsible or feels necessary for the safety and preservation of the Premises or for the performance of any work on the premises that may be necessary to comply with any laws or regulations of any public authority.


19. FIXTURES AND PERSONAL PROPERTY.  

Any trade fixtures, movable partitions, furniture, equipment, or personal property permanently installed in or permanently attached to the Premises or Building by or at the expense of Lessee shall be and remain the property of Lessee, including Lessee's signage, and Lessor agrees that Lessee shall have the right to remove any and all of such property prior to the expiration or termination of this Agreement, so long as no default exists under this Lease.  Lessee agrees that it will, at its expense, repair any damage occasioned to the Premises by reason of the removal of any of its trade fixtures, equipment, or other permanently affixed personal property as described above.

20.   REPAIRS AND MAINTENANCE.  

Lessor agrees that it shall, at its cost and expense, maintain the heating, ventilating and air conditioning systems serving the Premises and the common areas in the Building, the parking area mentioned in Paragraph 6 (optional), the plumbing, sprinkler and electrical lines and systems serving the Premises and the common areas in the Building, the Parcel on which the Premises are located, the Building in which the premises are located, and the Premises, and every part of them, in good order and condition, except that Lessee shall make any repairs or replacements necessitated by damage caused by the Lessee or its employees, agents, invitees, or visitors.  Provided, however, if Lessee fails to make any such repairs or replacements promptly, Lessor may, at its sole option, make the repairs or replacements after at least ten (10) days prior written notice to Lessee, and Lessee shall repay the cost of the repairs or replacements to Lessor on demand.



21. UTILITIES.  

Lessor agrees to provide, at its expense, to or for the Premises, adequate heat, electricity, water, air conditioning, replacement light tubes, trash removal service, and sewage disposal service, in such quantities and at such times as is necessary to Lessee's comfortable and reasonable use of the Premises, from 8 a.m. to 6 p.m., Monday through Saturday.  These services will not be provided on Sundays, New Year's Day, July 4th, Labor Day, Thanksgiving, Christmas, or any other nationally recognized holidays.   If Lessor supplies any of such utilities or services which are regulated by a timer, the timer must be at least an eight (8) hour timer so that Lessee will not be required to interrupt its normal business in order to cause the utilities and services described above to be continuously supplied during normal working hours.

22.   JANITORIAL SERVICE.  

Lessor agrees to provide in the Premises, at Lessor's expense, the following janitorial services: cleaning five (5) days per week; trash disposal five (5) days per week; vacuuming of carpets twice per week; cleaning of lighting fixtures twice per year; cleaning of windows (interior and exterior) three (3) times per year; replacement of light tubes and bulbs as required.  Air conditioning will be supplied to cause the temperature in the interior of the Premises to be not greater than 76 degrees at all times and heat will be supplied as necessary to cause the temperature to be not less than 70 degrees at all times.

23. UTILITY OR SERVICES UNAVAILIBITY.

In the event of any interruption or malfunction for any reason of any utility or service to the Premises or Building, Lessor shall use reasonable diligence to restore the utility or service. However, any such interruption or malfunction, if restored within a reasonable time, shall not entitle Lessee to be relieved from any of its obligations under this Lease, or grant Lessee the right of set-off or recoupment of rent, or be considered a breach by Lessor, or entitle Lessee to any damages. Should any of the equipment or machinery break down, or for any cause beyond the reasonable control of Lessor cease to function properly, Lessor shall use reasonable efforts to repair the machinery or equipment promptly, but Lessee shall have no claim for rebate of rent or damages on account of any interruptions in service occasioned by or resulting from any such breakdown or cessation for the length of time reasonably required for repair.

24.   DESTRUCTION OF PREMISES.  

If at any time during the term of this Lease, the Premises or any part of the Building shall be damaged or destroyed by fire in a way that does not render the premises unfit for the conduct of Lessee's business or that does not injure Lessee's business, Lessor shall promptly and through the exercise of reasonable diligence repair the damage and restore the premises, at Lessor's expense, to the condition in which the premises existed immediately prior to the damage or destruction.  In such case there shall be no abatement of rent. Notwithstanding the foregoing, if the Premises or any part of the Premises are damaged or destroyed by fire or other casualty not due to Lessees negligence, the Rent will be abated in proportion to the percentage of the Premises that are and remain unfit for occupancy during the time that the Premises are rendered unfit for occupancy.  If Lessor decides not to repair or rebuild the Premises, then this Lease shall terminate and the Rent shall be prorated up to the time of the damage.  Any unearned rent paid in advance shall be refunded to Lessee

25. EMINENT DOMAIN.  

If the whole of the Premises shall be taken by eminent domain or disposed of under threat of an impending taking by eminent domain, by or to any public authority, this Agreement shall cease and terminate one (1) day prior to the date legal title to the Premises shall vest in such authority.
 
26. ASSIGNMENT AND SUBLETTING.  

A. Lessee may not sublet or assign its interest under this Lease without the written consent of Lessor, except to a business entity that is owned or controlled by Lessee or that is the survivor of any merger, acquisition, or corporate reorganization in which Lessee's shareholders control the survivor.  

B. If permission is granted, Lessee may assign its interest in this Leased, provided Lessee remains personally liable for the performance of its obligations under this Lease through the remainder of the original term, together with all extensions, expansions, and renewals that may have been executed by Lessee and Lessor prior to any such assignment.  

C. Lessor's consent shall not be unreasonably withheld.

27. EFFECTS OF TERMINATION.

In the event that this Lease is terminated as permitted under the terms of this Lease, Lessor shall refund to Lessee the security deposit and any prepaid rent accrued as of the date of damage or destruction, less any sum then owing Lessor by Lessee. If Lessor is required under this Lease to repair and reconstruct the Premises, the Leased term shall be extended by a period of time equal to the period of time reasonable required to complete the repair and reconstruction.

28. DEFAULT BY LESSEE.  

The occurrence of any one or more of the following events shall constitute a default and breach of this Lease by Lessee: Should Lessee at any time be in default with respect to payment of rent for a period of ten (10) days after written notice from Lessor; or should Lessee be in default in the performance of any other of its obligations under this Lease for thirty (30) days after written notice from Lessor specifying the particulars of the default; or should Lessee vacate and abandon the Premises; or if a petition in bankruptcy or other insolvency proceeding is filed by or against Lessee, without dismissal within thirty (30) days of filing; or if Lessee makes any general assignment for the benefit of creditors or composition; or if a petition or other proceeding is instituted by or against the Lessee for the appointment of a trustee, receiver, or liquidator of Lessee or of any of Lessee's property pursuant to laws for the benefit of creditors; or if a proceeding is instituted by any governmental authority for the dissolution or liquidation of Lessee.

In the event of any such default or breach by Lessee, Lessor may at any time thereafter, with or without notice or demand, and without limiting Lessor in the exercise of a right or remedy which Lessor may have by reason of such default or breach Lessor, shall have the immediate right of reentry in the Premises, and after five (5) days prior written notice to Lessee, may remove all persons and property from the premises.

A. The property may be removed and stored in a public warehouse or elsewhere at the cost of, and for the account of, Lessee.  

B. Should Lessor elect to reenter, this Leased shall be deemed terminated; provided, however, that Lessor shall be entitled as against Lessee to the measure of damages provided by law, namely the difference between the rent for the balance of the term of this Leased following the day of reentry and the amount of rent Lessor receives during that period from any subsequent tenant of the Premises.

C. Lessor shall in such event have no obligation to re-let the Premises.

D. Should Lessor at any time terminate this Leased under Lessor's express rights set forth in this Lease for any breach, Lessor may, in addition to any other remedy it may have, recover from Lessee all damages incurred by reason of the breach, including the cost of recovering the Premises.

29. REDELIVERY OF PREMISES.  

Lessee agrees to redeliver to Lessor the physical possession of the Premises at the end of the term of this Lease, or any extension of this Lease, in good condition, excepting reasonable wear and tear, and damage by fire or from any other cause not attributable to the willful or negligent act of the Lessee, or its employees, agents, invitees, or visitors.

30. ATTORNEYS' FEES.  

If either party is required to place the enforcement of all or any part of this Lease, the recovery of possession of the Premises, or damages in the hands of an attorney, or if legal proceedings are commenced by either party against the other party to protect or enforce rights or obligations under this Lease, the prevailing party, whether as plaintiff or defendant, shall be entitled to recover its reasonable attorneys' fees and costs.

31.  REFURBISHMENTS.  

Lessor shall not be responsible for repainting the Premises or for replacement of the carpeting unless repainting or replacement is made necessary by the negligence of Lessor or its agents, employees, servants, contractors, or subcontractors, or by the breach of any other obligation of Lessor under this Lease.




32. SIGNAGE.  

Lessor reserves the right for itself or its agents to install a sign designating the Building and/or Parcel for sale or for lease, and to show the space to a prospective tenant, should Lessee not renew this Leased within ninety (90) days prior to its termination date.

33. LIGHTED SIGN.  [Optional]

Lessor acknowledges that Lessee is the sole owner of the lighted sign situated on the parcel of land and Building and that Lessee may enlarge or improve the sign at its present location, at Lessee's sole expense, or remove the sign at any time.

34. SECURITY DEPOSITS.  [Optional]

Lessor acknowledges that it has possession of a deposit in the amount of $ ___________, deposited by Lessee.

A. Lessor agrees that the deposit shall, upon commencement of the term of this Lease, comprise of the deposit which shall be held during the term of this Lease by Lessor as security for the performance by Lessee of its obligations under this Lease.

B. In addition, on the first day of the commencement of the term of this Lease, Lessee shall pay all or a prorated portion of the first month's rent in advance, as provided above.

C. That deposit shall be held by Lessor, without obligation for interest, as security for the performance of Lessee's covenants and obligations under this Lease, it being expressly understood and agreed that the deposit is not an advance rental deposit except to the extent Lessor applies it as such after the notice required below, or a measure of Lessor's damages in case of Lessee's default.

D. The deposit shall not be considered liquidated damages, and if claims of Lessor exceed the deposit, Lessee shall remain liable for the balance of the claim.

E. On the occurrence of any event of default, and after the time for cure has elapsed without cure by Lessee, as stipulated in this Agreement, Lessor may, from time to time, without prejudice to any other remedy provided in this Lease or provided by law, after five (5) days prior written notice to Lessee of Lessor's intent to do so, specifying the cause and the amount, use a portion of that fund, to the extent necessary to make good any arrears of rent and any other damage, injury, expense or liability caused by the event of default specified in such notice.

F. If any portion of the deposit is so used or applied, Lessee shall, within five (5) days of written demand, deposit cash with Lessor in an amount sufficient to restore the security deposit to its original amount, and Lessee's failure to do so shall constitute a default of this Leased.

G. If Lessee is not then in default under this Leased, any remaining balance of the deposit shall be returned by Lessor to Lessee on demand, within thirty (30) days after the termination of this Agreement.

35. LESSEE IMPROVEMENTS. [Optional]

A. Lessor hereby agrees to a tenant improvement allowance in the total sum of $___________ ("Lessee Allowance"), which represents the portion of the cost of the tenant improvements described in the Plans and specified by Lessee to be constructed by Lessor.  

B. The cost of such tenant improvements shall be borne by Lessor up to the amount of the Lessee Allowance.  

C. Should costs of such improvements constructed in compliance with the Plans are in excess of the Lessee Allowance, the excess amount shall be advanced by Lessor during construction but shall be reimbursed to Lessor by Lessee as provided below.

D. In the event the actual cost of constructing the Lessee Improvements, including the cost of carpeting and painting, exceeds the Lessee Allowance, the excess cost shall be spread evenly over the two (2) year primary term of this Lease, with 1/24th of the cost added to the minimum monthly rent for each month during that term.

36. SUBORDINATION.  

This Lease is subject and subordinate to all mortgages and deeds of trust which may now or hereafter encumber the Building, Parcel, or any appurtenances thereto, or any leases, renewals or modifications related thereto.  This clause shall be self-operative and no further instruments of subordination shall be required in order for this clause to be effective. Lessee hereby agrees to execute, within ten (10) days of a request, any and all reasonable instruments in writing required by Lessor or any lender to subordinate Lessee's rights acquired by this Lease in accordance with this clause.
   
37. NO REPRESENTATIONS BY LESSOR.

Lessee acknowledges that neither Lessor nor any of Lessors agents, representatives, officers or employees has made any representations or promises with respect to the Building or the Premises except as herein expressly set forth, and that it has not executed this Lease in reliance upon any representations or promises of Lessor or Lessors agents, representatives, officers or employees with respect to the Building or the Premises except as herein expressly set forth. Lessee acknowledges that neither Lessor nor its agents or employees have made any representations or warranties as to the suitability or fitness of the Premises for the conduct of Lessees business or for any other purpose, nor has Lessor or its agents or employees agreed to undertake any alterations or construct any improvements to the
Premises except as expressly provided in this Lease Agreement.

38. MISCELLANEOUS   

A.  Time is of the essence in this Lease.

B.  All covenants and conditions in this Lease are mutually dependent.

C.  Lessee agrees to give a letter of acceptance and memorandum of lease in recordable form on commencement of this Leased. OR [This Lease shall not be recorded]

D.  Lessee acknowledges that Lessee contacted Lessor directly, and that no real estate commission is due or payable from Lessor.  Lessee will hold Lessor and owners harmless from any claim made for a real estate commission. Lessor agrees that this covenant and indemnity shall be mutual.

E.  All disputes under this Leased shall be determined according to the laws of the State of __________. The Circuit Court of _______________County shall be sole and exclusive forum to litigate all disputes under this Leased, and Lessee consents to the jurisdiction of that court for this purpose.

F.  This Lease contains the entire agreement between Lessor and Lessee and shall not be modified in any manner except by an instrument in writing executed by all parties hereto.  This instrument may be executed in any number of counterparts, each of which shall be deemed to be an original.

G. This Agreement shall be binding upon and inured to the benefit of the parties hereto and their respective heirs, legal representatives, successors and assigns.

H. All Addendums will be prepared after the execution of the Agreement, and Lessee and Lessor shall acknowledge their approval of each Addendum by their signatures thereon, at the time of attachment to the Agreement.


39.  ADDITIONAL TERMS & CONDITIONS.   (Specify “none” if there are no additional provisions.)
_________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________


IN WITNESS WHEREOF, the parties have caused this Lease to be executed the day and year first above written.


LESSOR:               LESSEE:

_____________________________         ________________________________
(Signature)                  (Signature)
_____________________________         ________________________________
(Print Name)                  (Print Name)
_____________________________         ________________________________
Title (if applicable)               Title (if applicable)















   

   















EXHIBIT-A

PLANS




Number of Pages17
DimensionsDesigned for Letter Size (8.5" x 11")
EditableYes (.doc, .wpd and .rtf)
UsageUnlimited number of prints
Product number#32703
This is the content of the form and is provided for your convenience. It is not necessarily what the actual form looks like and does not include the information, instructions and other materials that come with the form you would purchase. An actual sample can also be viewed by clicking on the "Sample Form" near the top left of this page.













Office Lease Agreement
Unfurnished







This Packet Includes:
1. General Instructions
2. Information
3. Office Lease Agreement - Unfurnished





General Instructions
Office Lease Agreement - Unfurnished

   A Lease Agreement for Office Space is an agreement where one party (a “Lessor” also known as Landlord) agrees to lease/rent office space(s) in a building he/she/it owns to another party (a “Lessee” also known as a Tenant) for a specified time.

   An oral agreement when renting or leasing a property is a bad practice. While oral promises can be legally binding, it can be difficult if not impossible to prove them to a judge. It is always advisable to have a written office lease agreements so that the respective rights and obligations of each party are clearly stated in the agreement. This helps in dealing with key issues and thereby avoiding any misunderstanding and disputes. A written form of agreement is always preferred because that it is the best form of a proof to a tribunal or a judge to address any grievance or take a legal recourse in case of disputes. Hence, both the Lessor and Lessee must sign the Lease.  Two originally copies should be made (one for the Lessor and one for the Lessee).

   Among other issues, the Lease Agreement for Office Space will address the following:

   Duration of lease, an option to renew and how the lease can be terminated by either party by written notice.

   The responsibilities of the Lessee to pay the rent, security deposit (if any), taxes, license fees, etc. relative to its business, utilities, operating, and repair costs.



   The respective responsibilities of the Lessee and Lessor toward maintaining the premises in good condition and the expenses toward the same.




Information
Office Lease Agreement - Unfurnished

1)  Premises  The premises stated in the lease needs to be defined clearly. Extra facilities such as parking and common areas (e.g. bathrooms, toilets, pathways conferences, etc.) should be clearly mentioned if these are included in the premises. If necessary, attach a schematic of the building, property or floor plan.

2) Term  The length of the lease has a significant impact on the rental rate.  If a Lessor chooses to offer an option to renew the term of the Lease Agreement, it should be mentioned very clearly when the renewal occurs and the terms thereafter.  An option to renew clause is included this agreement an optional provision and can be deleted.

3) Security Deposits/ Late Payments  Security deposits and late payment penalties are optional provisions.  Lessors under an office lease typically require a security deposit for performance of Lessors lease obligations which is generally equal to one or two month's rent, but a Lessor may insist on more if the company is new or financially unstable.  Please note that security deposits and late payment penalties are governed by state law.  Be sure to research your states laws before finalizing these provisions.

4)  Insurance  This is an optional provision.  If you choose not to require your Tenant to maintain and insurance policy, or if you require additional insurance, alter this provision to correspond with your needs.

5) Use Clause  A use clause signifies how the space can and cannot be used.  Because Lessors want to protect their property, their interpretation of usage may infringe upon a Lessees ability to adequately conduct its business. A broader use clause is advisable because Lessees business may grow and its business model may change.  In addition, a narrow use clause can often serve as a restriction on Lessees ability to assign or sublet the space.

6) Lessee Improvements and Alterations  A broader clause is advisable where it clearly states the respective obligations of the Lessee and Lessor, their limitations of cost, and the scope of alterations permitted, etc. This clause should be fair and not too restrictive on the Lessee.









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LEASE AGREEMENT FOR OFFICE SPACE



This Lease Agreement (“Lease” or “Agreement”), entered into effective ____________ [date], by and between _______________ [name], a __________ corporation with its principal offices located in __________________ [city], [County, __________] (“Lessor”), and _______________________ [name], a __________ corporation, with principal offices located in ______________ [County, __________] (“Lessee”) provides as follows:

The parties agree as follows:

1.   PREMISES.  
Lessor hereby agrees to Leased to Lessee, and Lessee hereby leases from Lessor, the following described premises:

That certain ___________ square feet of floor space on the ___________ floor of the office building located on that parcel commonly referred to as [name of office building] (“Building”) located on the Parcel ________________________ in ___________________ [Name of City], [County, __________], as outlined in red on Exhibit "A" attached hereto and made a part of this Leased for description purposes, more commonly known as Suite ___________, which floor space shall be finished substantially in accordance with the plans and specifications attached to this Lease as Exhibit "A" ("Plans").

2.   COMMON AREAS. 

Lessee shall also have the nonexclusive right, in common with others, to the use of common entrance ways, lobbies, corridors, lavatories, elevators, ramps, stairs and similar access and service ways in and adjacent to the Building. In addition, Lessee shall have [the non-exclusive right to use three (3) parking spaces in the parking lot adjacent to the Building, as well as] the right to use certain conference rooms in the Building by prior arrangement with Lessor, based upon availability.  All Common Areas shall be subject to the exclusive control and management of  Lessor and  Lessor shall have the right, from time to time, to establish, modify, and enforce rules and regulations with respect thereto.

3.  TERM; ACCEPTANCE; RENEWAL & HOLDOVER.

   A.   Initial Term: This Lease shall be for an Initial Term of ______ (__) months commencing at noon on ______________ ("the Commencement Date") and terminating at noon on ____________________ (the "Expiration Date").

   B.   Acceptance:  By conducting business from the Leased Premises, Lessee shall be deemed to have accepted the Premises in their then present condition and to have acknowledged that Lessor has fulfilled its obligation to make all improvements to the Premises in accordance with any agreement, whether oral or written, between the parties.
C.    Commencement and Termination Dates:  Lessor and the Lessee shall, upon the request of either of them, execute an Agreement in recordable form expressing the Commencement and Termination Dates of the Term of this Lease.

D.    Renewal Term:  Lessee is hereby given an option to renew this Leased for an additional term of two (2) years by giving Lessor written notice on or before ninety (90) days before the expiration of the primary term of this Leased.  The renewal of lease is to be upon the same terms, covenants, and conditions contained in this Lease except as to Rent as provided in Paragraph 4 below and Lessee Improvements.

E.  Holdover: In the event Lessee remains in possession of the Leased Premises after the expiration or termination of the Lease, without the execution of a lease renewal or new lease, Lessee shall be deemed to be occupying the Premises as a Lessee from month-to-month subject to all conditions, provisions, and obligations of this Lease, insofar as the same can be applicable to a month-to-month tenancy, cancelable by either party upon thirty (30) days written notice to the other, except that the rent shall increase by __ percent (__%) over the rent for  the last month of the Lease, and Lessor may increase the rent on 30 days' written notice to Lessee.

4. RENT, LATE PAYMENT.

A. Lessee shall pay to Lessor as rent for the Premises equal monthly installments of $ ____, in advance, on the first day of each month of the term hereof. Lessee shall pay Lessor upon the execution hereof the sum of $ _____ as rent.  For renewal terms the rent shall increase ___% per year.  Rent for any period during the term hereof which is for less than one month shall be a pro rata portion of the monthly installment. Rent shall be payable without notice or demand and without any deduction, offset, or abatement in lawful money of the United States of America to Lessor at the address stated herein or to such other persons or at such other places as Lessor may designate in writing.

B. In the event that Lessee shall fail to pay any amount under this Lease when the same shall be due, such amount shall be subject to a one-time late charge of $___________ when due and thereafter shall be subject to a service charge until such amount is paid at the lesser of the rate of ____ percent (__%) per month or the highest rate permitted by law. If any payment of rent is made by check, and the check is dishonored for any reason, including but not limited to insufficient funds or uncollected funds, Lessee shall reimburse Lessor with cash, or with an official bank check in the amount of the dishonored check, plus a dishonored check fee in the amount of _%.

5.   NOTICE.

Wherever in this Leased it is required or permitted that notice or demand be given or served by either party on the other, such notice or demand shall be deemed given or served when written and hand delivered, or deposited in the United States Mail, certified, return receipt requested, postage prepaid, addressed as follows:

To Lessor at: [address]



To Lessee at: [address]





6.  PARKING:

 [If exclusive right to park is granted]

It is agreed that Lessee, its agents, servants, employees, customers, guests, and invitees, shall have the exclusive right to park without charge, throughout the original term of this Leased and any renewal term, ________ (___) automobiles in ________________ (___) designated parking spaces. Lessee agrees not to hinder the use of the remaining parking places, which are reserved for the exclusive use of the tenants of the remaining leased space in the Building.

7.   POSSESSION.  

Lessor promises to place Lessee in peaceful possession of the Premises, and Lessee, by taking possession of the Premises, will have acknowledged that the Premises are in satisfactory and acceptable condition.

8.   USE.  

The Premises shall be used and occupied only for general offices and related office use. The entire building is a smoke-free facility.

9.   COMPLIANCE WITH LAWS.  

Lessee agrees to observe all laws and governmental regulations applicable to its use of the Premises, together with all reasonable rules and regulations that may be promulgated by Lessor from time to time.

10. ALTERATIONS BY LESSEE.  

Lessee agrees that except for the Lessee Improvements contemplated in this Lease, Lessee will make no alterations to the Premises without the prior written consent of the Lessor.

11. SERVICES, UTILITIES AND FURNISHINGS.

A.  Lessor shall be responsible for maintaining the Premises.

B.  This Lease Agreement shall be a “fully serviced lease.” There shall be no common area maintenance charges, property taxes or insurance that Lessee must pay.

C. Lessor shall provide MIS services, telephone service and office furnishings for the Premises. Lessee shall pay Lessor for such services quarterly and in advance along with the Rent. For the first year, the costs of such services are: $_________(___) for computer systems ($__ per month) and $_________(___) for telephone ($___ per month). Lessor will increase such charges to reflect actual costs it incurs. Photocopying shall be billed separately to the Lessee.

12. TAX.

Lessee shall be responsible for any business license use or other taxes that may be assessed as a consequence of Lessees activities in the Premises.


13.  HAZARDOUS MATERIALS.  

Lessee shall not use the Premises, nor permit them to be used, for any purpose which shall increase the existing rate of insurance upon the Building, or cause the cancellation of any insurance policy covering the Building, or sell or permit to be kept, used, or sold in or about the Premises, any article that may be prohibited by Lessor's insurance policies or bring into or store in the Premises, any inflammable or explosive goods or materials nor any article which may expose the Premises to fire or increase the fire hazard of the building.

The Lessee shall comply with all sanitary rules and safety regulations which may be promulgated from time to time by the LESSOR and shall keep and maintain the Premises in clean and sanitary condition and dispose of all rubbish only through the means and places indicated by the Lessor for the purpose.


14. QUIET ENJOYMENT.

A. Lessee shall not commit any waste upon the Premises, nor cause any public or private nuisance or other act that may disturb the quiet enjoyment of any other tenant, nor shall Lessee allow the Premises to be used for any improper, immoral, unlawful, or unsafe purpose, including, but not limited to, the storage of any flammable materials.  

B.  Nor shall Lessee use any apparatus, machinery or device in or on said Premises that shall make any noise or cause any vibration that can be detected by other tenants, or that shall in any way be a detriment to the Building.  

15. ALTERATIONS.

Lessee further agrees that except for the Lessee Improvements contemplated in this Lease, Lessee may not make any removals, additions, improvements or other alterations in or to the Premises. Lessee will not install or construct within the Premises or Building electrical wires, water or drainpipes, machinery, or other permanently installed devices, including, but not limited to, alarm systems, private music systems, or special ventilation, without the prior written consent of Lessor.


16. HOLD HARMLESS.

A. Lessee shall hold harmless and defend Lessor, its officers, agents and employees, at Lessees sole cost with counsel reasonably satisfactory to Lessor, from and against any and all claims, damages or causes of action for damages on account of any injury to or death of any person or any loss of or damage to property occurring in, on or about the Premises at any time during the term of this Agreement, provided such injury, death, loss or damage is not directly caused by the intentional misconduct or gross negligence of Lessor, its officers, agents or employees.

B. Lessor shall hold harmless and defend Lessee, its officers, agents and employees, at Lessors sole cost with counsel reasonably satisfactory to Lessee, from and against any and all claims, damages or causes of action for damages on account of any injury to or death of any person or any loss of or damage to property occurring in, on or about the Premises at any time during the term of this Agreement, provided such injury, death, loss or damage is not directly caused by the intentional misconduct or gross negligence of Lessee, its officers, agents or employees.

C. This Section 16 shall survive the expiration or termination of this Agreement. Any subsequent attempt to change this Section 16.C must be in writing, signed by both Lessor and Lessee and expressly reference this Section.


17. INSURANCE [Optional]

A. Lessor shall obtain and maintain in effect at all times during the term of this Lease Agreement an insurance policy covering all risks of direct physical loss or damage to the Premises and Building and to all alterations, installations, additions and improvements made to or within the Building at Lessors cost and expense, to the extent of their full replacement value, as well as general comprehensive liability in an amount no less than ________________ ($____) per occurrence for bodily injury, personal injury and property damages.

B. Lessee, at Lessees expense, shall obtain and maintain in effect at all times during the term of this Agreement an insurance policy covering all risks of direct physical loss or damage to Lessees personal property in, on or about the Premises to the extent of their full replacement value, as well comprehensive general liability insurance in an amount no less than ________________ ($____) per occurrence for bodily injury, personal injury and property damages. In addition, Lessee shall maintain a program of workers compensation insurance in the amount and form to meet all applicable requirements of the Labor
Code of the State of _____________, including Employers Liability with a $__________ limit covering all persons providing services by or on behalf of Lessee and all risks to such persons under this Lease.

C. Notwithstanding any other provision of this Lease Agreement, neither Lessor nor Lessee shall be liable to the other or to any insurance company (by way of subrogation or otherwise) insuring the other party for any loss or damage to any building, structure or other tangible property, or any resulting loss of income or additional expense, even though such loss or damage might have been occasioned by the negligence of such party, its agents or employees, if such loss or damage is covered by insurance benefiting the party suffering such loss or damage or was required to be covered by insurance pursuant to this Section. If required to make the foregoing waiver of subrogation binding upon their respective insurance carriers, Lessor and Lessee shall give notice to their respective insurance carriers that such mutual waiver of subrogation is contained in this Agreement. Lessee agrees to cause all other occupants of the Building claiming by, under, or through Lessee to execute and deliver to Lessor such a waiver of claims and to obtain such waiver of subrogation rights endorsements.


18. LESSOR'S RIGHT TO INSPECT.  

Lessee agrees that Lessor and its authorized representatives has the right to enter the Premises at any time during emergencies or at all reasonable times during usual business hours upon twenty-four (24) hours notice to Lessee, for the purpose of inspection, or for the making of any necessary repairs for which the Lessor is responsible or feels necessary for the safety and preservation of the Premises or for the performance of any work on the premises that may be necessary to comply with any laws or regulations of any public authority.


19. FIXTURES AND PERSONAL PROPERTY.  

Any trade fixtures, movable partitions, furniture, equipment, or personal property permanently installed in or permanently attached to the Premises or Building by or at the expense of Lessee shall be and remain the property of Lessee, including Lessee's signage, and Lessor agrees that Lessee shall have the right to remove any and all of such property prior to the expiration or termination of this Agreement, so long as no default exists under this Lease.  Lessee agrees that it will, at its expense, repair any damage occasioned to the Premises by reason of the removal of any of its trade fixtures, equipment, or other permanently affixed personal property as described above.

20.   REPAIRS AND MAINTENANCE.  

Lessor agrees that it shall, at its cost and expense, maintain the heating, ventilating and air conditioning systems serving the Premises and the common areas in the Building, the parking area mentioned in Paragraph 6 (optional), the plumbing, sprinkler and electrical lines and systems serving the Premises and the common areas in the Building, the Parcel on which the Premises are located, the Building in which the premises are located, and the Premises, and every part of them, in good order and condition, except that Lessee shall make any repairs or replacements necessitated by damage caused by the Lessee or its employees, agents, invitees, or visitors.  Provided, however, if Lessee fails to make any such repairs or replacements promptly, Lessor may, at its sole option, make the repairs or replacements after at least ten (10) days prior written notice to Lessee, and Lessee shall repay the cost of the repairs or replacements to Lessor on demand.



21. UTILITIES.  

Lessor agrees to provide, at its expense, to or for the Premises, adequate heat, electricity, water, air conditioning, replacement light tubes, trash removal service, and sewage disposal service, in such quantities and at such times as is necessary to Lessee's comfortable and reasonable use of the Premises, from 8 a.m. to 6 p.m., Monday through Saturday.  These services will not be provided on Sundays, New Year's Day, July 4th, Labor Day, Thanksgiving, Christmas, or any other nationally recognized holidays.   If Lessor supplies any of such utilities or services which are regulated by a timer, the timer must be at least an eight (8) hour timer so that Lessee will not be required to interrupt its normal business in order to cause the utilities and services described above to be continuously supplied during normal working hours.

22.   JANITORIAL SERVICE.  

Lessor agrees to provide in the Premises, at Lessor's expense, the following janitorial services: cleaning five (5) days per week; trash disposal five (5) days per week; vacuuming of carpets twice per week; cleaning of lighting fixtures twice per year; cleaning of windows (interior and exterior) three (3) times per year; replacement of light tubes and bulbs as required.  Air conditioning will be supplied to cause the temperature in the interior of the Premises to be not greater than 76 degrees at all times and heat will be supplied as necessary to cause the temperature to be not less than 70 degrees at all times.

23. UTILITY OR SERVICES UNAVAILIBITY.

In the event of any interruption or malfunction for any reason of any utility or service to the Premises or Building, Lessor shall use reasonable diligence to restore the utility or service. However, any such interruption or malfunction, if restored within a reasonable time, shall not entitle Lessee to be relieved from any of its obligations under this Lease, or grant Lessee the right of set-off or recoupment of rent, or be considered a breach by Lessor, or entitle Lessee to any damages. Should any of the equipment or machinery break down, or for any cause beyond the reasonable control of Lessor cease to function properly, Lessor shall use reasonable efforts to repair the machinery or equipment promptly, but Lessee shall have no claim for rebate of rent or damages on account of any interruptions in service occasioned by or resulting from any such breakdown or cessation for the length of time reasonably required for repair.

24.   DESTRUCTION OF PREMISES.  

If at any time during the term of this Lease, the Premises or any part of the Building shall be damaged or destroyed by fire in a way that does not render the premises unfit for the conduct of Lessee's business or that does not injure Lessee's business, Lessor shall promptly and through the exercise of reasonable diligence repair the damage and restore the premises, at Lessor's expense, to the condition in which the premises existed immediately prior to the damage or destruction.  In such case there shall be no abatement of rent. Notwithstanding the foregoing, if the Premises or any part of the Premises are damaged or destroyed by fire or other casualty not due to Lessees negligence, the Rent will be abated in proportion to the percentage of the Premises that are and remain unfit for occupancy during the time that the Premises are rendered unfit for occupancy.  If Lessor decides not to repair or rebuild the Premises, then this Lease shall terminate and the Rent shall be prorated up to the time of the damage.  Any unearned rent paid in advance shall be refunded to Lessee

25. EMINENT DOMAIN.  

If the whole of the Premises shall be taken by eminent domain or disposed of under threat of an impending taking by eminent domain, by or to any public authority, this Agreement shall cease and terminate one (1) day prior to the date legal title to the Premises shall vest in such authority.
 
26. ASSIGNMENT AND SUBLETTING.  

A. Lessee may not sublet or assign its interest under this Lease without the written consent of Lessor, except to a business entity that is owned or controlled by Lessee or that is the survivor of any merger, acquisition, or corporate reorganization in which Lessee's shareholders control the survivor.  

B. If permission is granted, Lessee may assign its interest in this Leased, provided Lessee remains personally liable for the performance of its obligations under this Lease through the remainder of the original term, together with all extensions, expansions, and renewals that may have been executed by Lessee and Lessor prior to any such assignment.  

C. Lessor's consent shall not be unreasonably withheld.

27. EFFECTS OF TERMINATION.

In the event that this Lease is terminated as permitted under the terms of this Lease, Lessor shall refund to Lessee the security deposit and any prepaid rent accrued as of the date of damage or destruction, less any sum then owing Lessor by Lessee. If Lessor is required under this Lease to repair and reconstruct the Premises, the Leased term shall be extended by a period of time equal to the period of time reasonable required to complete the repair and reconstruction.

28. DEFAULT BY LESSEE.  

The occurrence of any one or more of the following events shall constitute a default and breach of this Lease by Lessee: Should Lessee at any time be in default with respect to payment of rent for a period of ten (10) days after written notice from Lessor; or should Lessee be in default in the performance of any other of its obligations under this Lease for thirty (30) days after written notice from Lessor specifying the particulars of the default; or should Lessee vacate and abandon the Premises; or if a petition in bankruptcy or other insolvency proceeding is filed by or against Lessee, without dismissal within thirty (30) days of filing; or if Lessee makes any general assignment for the benefit of creditors or composition; or if a petition or other proceeding is instituted by or against the Lessee for the appointment of a trustee, receiver, or liquidator of Lessee or of any of Lessee's property pursuant to laws for the benefit of creditors; or if a proceeding is instituted by any governmental authority for the dissolution or liquidation of Lessee.

In the event of any such default or breach by Lessee, Lessor may at any time thereafter, with or without notice or demand, and without limiting Lessor in the exercise of a right or remedy which Lessor may have by reason of such default or breach Lessor, shall have the immediate right of reentry in the Premises, and after five (5) days prior written notice to Lessee, may remove all persons and property from the premises.

A. The property may be removed and stored in a public warehouse or elsewhere at the cost of, and for the account of, Lessee.  

B. Should Lessor elect to reenter, this Leased shall be deemed terminated; provided, however, that Lessor shall be entitled as against Lessee to the measure of damages provided by law, namely the difference between the rent for the balance of the term of this Leased following the day of reentry and the amount of rent Lessor receives during that period from any subsequent tenant of the Premises.

C. Lessor shall in such event have no obligation to re-let the Premises.

D. Should Lessor at any time terminate this Leased under Lessor's express rights set forth in this Lease for any breach, Lessor may, in addition to any other remedy it may have, recover from Lessee all damages incurred by reason of the breach, including the cost of recovering the Premises.

29. REDELIVERY OF PREMISES.  

Lessee agrees to redeliver to Lessor the physical possession of the Premises at the end of the term of this Lease, or any extension of this Lease, in good condition, excepting reasonable wear and tear, and damage by fire or from any other cause not attributable to the willful or negligent act of the Lessee, or its employees, agents, invitees, or visitors.

30. ATTORNEYS' FEES.  

If either party is required to place the enforcement of all or any part of this Lease, the recovery of possession of the Premises, or damages in the hands of an attorney, or if legal proceedings are commenced by either party against the other party to protect or enforce rights or obligations under this Lease, the prevailing party, whether as plaintiff or defendant, shall be entitled to recover its reasonable attorneys' fees and costs.

31.  REFURBISHMENTS.  

Lessor shall not be responsible for repainting the Premises or for replacement of the carpeting unless repainting or replacement is made necessary by the negligence of Lessor or its agents, employees, servants, contractors, or subcontractors, or by the breach of any other obligation of Lessor under this Lease.




32. SIGNAGE.  

Lessor reserves the right for itself or its agents to install a sign designating the Building and/or Parcel for sale or for lease, and to show the space to a prospective tenant, should Lessee not renew this Leased within ninety (90) days prior to its termination date.

33. LIGHTED SIGN.  [Optional]

Lessor acknowledges that Lessee is the sole owner of the lighted sign situated on the parcel of land and Building and that Lessee may enlarge or improve the sign at its present location, at Lessee's sole expense, or remove the sign at any time.

34. SECURITY DEPOSITS.  [Optional]

Lessor acknowledges that it has possession of a deposit in the amount of $ ___________, deposited by Lessee.

A. Lessor agrees that the deposit shall, upon commencement of the term of this Lease, comprise of the deposit which shall be held during the term of this Lease by Lessor as security for the performance by Lessee of its obligations under this Lease.

B. In addition, on the first day of the commencement of the term of this Lease, Lessee shall pay all or a prorated portion of the first month's rent in advance, as provided above.

C. That deposit shall be held by Lessor, without obligation for interest, as security for the performance of Lessee's covenants and obligations under this Lease, it being expressly understood and agreed that the deposit is not an advance rental deposit except to the extent Lessor applies it as such after the notice required below, or a measure of Lessor's damages in case of Lessee's default.

D. The deposit shall not be considered liquidated damages, and if claims of Lessor exceed the deposit, Lessee shall remain liable for the balance of the claim.

E. On the occurrence of any event of default, and after the time for cure has elapsed without cure by Lessee, as stipulated in this Agreement, Lessor may, from time to time, without prejudice to any other remedy provided in this Lease or provided by law, after five (5) days prior written notice to Lessee of Lessor's intent to do so, specifying the cause and the amount, use a portion of that fund, to the extent necessary to make good any arrears of rent and any other damage, injury, expense or liability caused by the event of default specified in such notice.

F. If any portion of the deposit is so used or applied, Lessee shall, within five (5) days of written demand, deposit cash with Lessor in an amount sufficient to restore the security deposit to its original amount, and Lessee's failure to do so shall constitute a default of this Leased.

G. If Lessee is not then in default under this Leased, any remaining balance of the deposit shall be returned by Lessor to Lessee on demand, within thirty (30) days after the termination of this Agreement.

35. LESSEE IMPROVEMENTS. [Optional]

A. Lessor hereby agrees to a tenant improvement allowance in the total sum of $___________ ("Lessee Allowance"), which represents the portion of the cost of the tenant improvements described in the Plans and specified by Lessee to be constructed by Lessor.  

B. The cost of such tenant improvements shall be borne by Lessor up to the amount of the Lessee Allowance.  

C. Should costs of such improvements constructed in compliance with the Plans are in excess of the Lessee Allowance, the excess amount shall be advanced by Lessor during construction but shall be reimbursed to Lessor by Lessee as provided below.

D. In the event the actual cost of constructing the Lessee Improvements, including the cost of carpeting and painting, exceeds the Lessee Allowance, the excess cost shall be spread evenly over the two (2) year primary term of this Lease, with 1/24th of the cost added to the minimum monthly rent for each month during that term.

36. SUBORDINATION.  

This Lease is subject and subordinate to all mortgages and deeds of trust which may now or hereafter encumber the Building, Parcel, or any appurtenances thereto, or any leases, renewals or modifications related thereto.  This clause shall be self-operative and no further instruments of subordination shall be required in order for this clause to be effective. Lessee hereby agrees to execute, within ten (10) days of a request, any and all reasonable instruments in writing required by Lessor or any lender to subordinate Lessee's rights acquired by this Lease in accordance with this clause.
   
37. NO REPRESENTATIONS BY LESSOR.

Lessee acknowledges that neither Lessor nor any of Lessors agents, representatives, officers or employees has made any representations or promises with respect to the Building or the Premises except as herein expressly set forth, and that it has not executed this Lease in reliance upon any representations or promises of Lessor or Lessors agents, representatives, officers or employees with respect to the Building or the Premises except as herein expressly set forth. Lessee acknowledges that neither Lessor nor its agents or employees have made any representations or warranties as to the suitability or fitness of the Premises for the conduct of Lessees business or for any other purpose, nor has Lessor or its agents or employees agreed to undertake any alterations or construct any improvements to the
Premises except as expressly provided in this Lease Agreement.

38. MISCELLANEOUS   

A.  Time is of the essence in this Lease.

B.  All covenants and conditions in this Lease are mutually dependent.

C.  Lessee agrees to give a letter of acceptance and memorandum of lease in recordable form on commencement of this Leased. OR [This Lease shall not be recorded]

D.  Lessee acknowledges that Lessee contacted Lessor directly, and that no real estate commission is due or payable from Lessor.  Lessee will hold Lessor and owners harmless from any claim made for a real estate commission. Lessor agrees that this covenant and indemnity shall be mutual.

E.  All disputes under this Leased shall be determined according to the laws of the State of __________. The Circuit Court of _______________County shall be sole and exclusive forum to litigate all disputes under this Leased, and Lessee consents to the jurisdiction of that court for this purpose.

F.  This Lease contains the entire agreement between Lessor and Lessee and shall not be modified in any manner except by an instrument in writing executed by all parties hereto.  This instrument may be executed in any number of counterparts, each of which shall be deemed to be an original.

G. This Agreement shall be binding upon and inured to the benefit of the parties hereto and their respective heirs, legal representatives, successors and assigns.

H. All Addendums will be prepared after the execution of the Agreement, and Lessee and Lessor shall acknowledge their approval of each Addendum by their signatures thereon, at the time of attachment to the Agreement.


39.  ADDITIONAL TERMS & CONDITIONS.   (Specify “none” if there are no additional provisions.)
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IN WITNESS WHEREOF, the parties have caused this Lease to be executed the day and year first above written.


LESSOR:               LESSEE:

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(Signature)                  (Signature)
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(Print Name)                  (Print Name)
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Title (if applicable)               Title (if applicable)















   

   















EXHIBIT-A

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