30+ model lease clauses organized by category. Copy model language for your attorney, understand the risk, and apply negotiation tactics that protect your business.
Showing 23 of 23 clauses
Defines how much your rent increases each year. Fixed % is predictable; CPI-linked escalations can spike in high-inflation periods. This clause compounds significantly over a 5–10 year term.
Grants a period at lease start during which no base rent is due. Critical for offsetting build-out downtime. The recapture provision determines whether free rent is truly free or just deferred.
Retail tenants pay base rent plus a percentage of gross sales above a "natural breakpoint." Defines what counts as "gross sales" and the reporting obligations — this clause is heavily negotiated.
The landlord's contribution to your build-out. One of the most valuable lease provisions — TI allowance deficiencies are a leading cause of lease disputes. Disbursement mechanics and unused TI treatment are critical.
Specifies what the landlord is obligated to deliver before Tenant takes possession. Ambiguity here causes the most common pre-possession disputes. Must be specific — "building standard" is not specific.
Gives you the right to exit the lease early, typically after a minimum period, by paying a defined termination fee. The fee formula and exercise notice window are critical — most tenants underestimate the penalty.
Allows the landlord to terminate your lease to demolish or redevelop the building. Can appear in final years of term. Critical to negotiate adequate notice, compensation, and a minimum term before it can be triggered.
Governs your right to assign the lease or sublease space to third parties. Most leases require landlord consent — the key is whether that consent can be "reasonably withheld" or is at the landlord's absolute discretion.
Treats a change in ownership of the tenant entity as an assignment requiring landlord consent — even in a stock deal where the legal name on the lease doesn't change. Critical for businesses planning to raise capital or sell.
Specifies the types and amounts of insurance the tenant must carry. Standard requirements are reasonable, but some landlord forms require unusually high limits — especially for small tenants in large buildings.
Each party waives the right to have their insurer sue the other party for covered losses. Without this clause, your insurer can pursue the landlord — or the landlord's insurer can pursue you — even if your insurance already paid your loss.
Defines what landlord costs cannot be passed through to tenants as operating expenses. Without robust exclusions, tenants can be charged for capital improvements, landlord debt service, and management overhead.
Your right to audit the landlord's expense records. Studies show 30–50% of audited reconciliations have errors, with average overpayments of $0.50–$2.00/SF. This clause is worth money.
Allows landlords to calculate variable operating expenses as if the building were fully occupied — preventing low-occupancy years from distorting your share. Can work against tenants in high-vacancy buildings if not properly drafted.
Landlord's promise that your right to use the space won't be disrupted as long as you're not in default. Implied by law in most states, but should be explicit. The SNDA provides the lender equivalent.
Allows the security deposit to decrease over time as the tenant demonstrates financial reliability. Frees up capital that would otherwise remain locked with the landlord for the full lease term.
Your right to extend the lease at defined terms. Critical for location-dependent businesses. The "fair market value" determination mechanism is where renewal option disputes most often arise.
What happens if you stay past the lease expiration without signing a renewal. Standard holdover rent is 150–200% of the last month's rent. Some leases include landlord damage claims — these can be catastrophic for tenants.
Three-part agreement: Tenant subordinates to the lender; lender agrees not to disturb Tenant's possession if it forecloses; Tenant agrees to attorn (recognize) any new owner after foreclosure. The non-disturbance commitment is the critical protection.
What happens if fire or casualty damages the space. Key provisions: how long the landlord has to restore, your rent abatement during restoration, and when you can terminate if restoration is impractical.
What happens if the government takes all or part of the property. Governs rent abatement, lease termination rights, and — critically — whether you get a share of the condemnation award.
How long you have to fix problems before your landlord can declare default and pursue remedies (including termination). These periods are your safety net — the narrower they are, the more operational risk you carry.
Each party agrees to hold the other harmless from claims arising from their own negligence or wrongful acts. Most commercial leases have asymmetric indemnification favoring the landlord — tenants should demand mutuality.
Upload your lease to LeaseAI and instantly see which of these clauses are present, how they're worded, and how they compare to market-standard language.