How To Draft a Commercial Lease Agreement in Florida

Standardized Legal Documents How To Draft a Commercial Lease Agreement in Florida

All Your Questions About a Commercial Lease Agreement in Florida Answered

You find it difficult to understand how a commercial lease agreement works, but this article will help you get the hang of it quickly!

If you need to rent a space for your business in the Sunshine State, get ready to review and sign a commercial lease agreement in Florida.

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What Is a Commercial Lease Agreement?

Before entering into a commercial lease agreement in Florida, you should know exactly what this agreement is.

A commercial lease agreement is a legal document between a party that needs a commercial property for their business and the other that rents out their property to the first party.

In a commercial lease agreement, you’ll see the words lessor—referring to the property owner—and the lessee—referring to the business owner who uses the property.

Unlike residential lease agreements that have a duration of at least several years, a commercial lease agreement usually lasts for a year only. The duration of the contract, along with other details, depends on what the business is and the commercial property it uses.

Under a commercial lease agreement, a business can use and operate on:

  • Retail spaces
  • Offices
  • Industrial spaces

Commercial Lease Agreements in Florida

If you are entering into a commercial lease agreement in Florida, the first information you want to know is how much you will have to pay. The price of using a commercial property is often calculated per square foot, but other factors are also considered, such as:

  • What the market value of the property is
  • How much the lessor spends on improvements, which is called a fit-up
  • What your business’ credit score is

Other than knowing the price, you should also consider these specifics about the commercial lease agreements in Florida:

  • Business entities don’t enjoy the same consumer rights that residential property lessees do
  • If the agreement’s duration is longer than a year, the singing needs to be conducted in front of two witnesses, and the agreement needs to be in writing
  • A lessor should inspect the property before entering into the agreement
  • If the lessee finds defaults on the property, they can’t sue the lessor if they inspected the property before signing the agreement 

What Information Does Your Commercial Lease Agreement in Florida Need To Contain?

Since commercial lease agreements are complicated, you should familiarize yourself with them thoroughly. To know what you are signing and be able to negotiate the terms and conditions with the other party, you should know what sections there are in a commercial lease agreement and what they mean. 

Every commercial lease agreement is different, but the following elements are found in all of them:

  1. Names of the parties—full legal names of the landlord and the business entity
  2. Property description—legal title and description of the commercial property, such as location, square footage, and the number of rooms
  3. Lease duration—the period during which the lease will be in effect
  4. Rent payment—the amount of rent the lessee will pay and the payment schedule
  5. Agreement statement—language that states both parties agreed on the terms in the contract
  6. Security deposit—the amount of security deposit the lessee will pay and when they will get the deposit back
  7. Signatures of the parties—signatures that the parties put on the agreement in front of a notary

Use DoNotPay To Learn More About Lease Agreements and Other Contracts in Florida

DoNotPay answers your questions regardless of what type of legal document you have to deal with.

In the table below, you can check out the information about various lease agreements and other types of contracts you may use in Florida:

Lease AgreementsFlorida Contracts

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