Understanding Your New Commercial Tenancy Agreement

Businesses of all kinds rely on commercial premises as their base for daily operations. Although some enterprises have chosen to adopt hybrid or remote working arrangements for their employees, many still prefer the secure location of a physical office, as a tangible meeting place for colleagues and clients alike.

If you’re looking to expand or downsize your business, then it may be time to find new premises, in which case you will eventually need to sign a new commercial tenancy agreement. Many businesses prefer to rent their office space for flexibility and cost management reasons, meaning that tenancy contracts need to be proofread closely prior to final confirmation.

Read on for a look at some of the key aspects of your tenancy agreement that you need to pursue carefully before signing.



Lease Duration

One of the most important aspects of your tenancy agreement is the lease term, where this details the start and end dates of your contract. If you’re moving out of your old property on a set date, then you may need to arrange for additional storage in the interim. This section should also detail whether the contract can be renewed or extended.

Use of Premises

Most tenancy agreements will detail what the site can and can’t be used for. This is important to consider if you’re planning on expanding or evolving your business in the near future, where you could be in breach of contract if you set up a prohibited commercial activity in this space.

Maintenance & Repairs

Looking after a commercial property can be expensive, where you should pay attention to what responsibilities are covered in your contract. The landlord or property manager may handle some repairs and maintenance tasks, whilst others may need to be included in your company budget.

Early Termination

When you’re running a business, the last thing you want is to be forcibly removed from your office premises. As such, you should pay attention to the listed conditions under which your lease may be terminated, such as various misuses or breaches of contract. Importantly, both parties can request an early termination if they feel there has been a breach.

Andrew Lee Property Lawyers: Commercial Property Advice You Can Trust

At Andrew Lee, we specialise in commercial property law, including contractual issues, sales and lease agreements. So whether you need a commercial conveyancer or an expert eye to check over your tenancy agreement, we’re here to help. Get in touch with us today to find out more.