Commercial Lease Agreement Template
This generic commercial lease agreement template is created for landlords and tenants (or business tenants), so as to help them establish a clear understanding of their rights and obligations before renting a commercial property. It outlines essential details such as rent amount, payment schedule, lease duration, maintenance duties, permitted use, and property rules. When drafted by Legal Tech software like Wansom AI, this template will help you:
Generate a professional commercial lease tailored for your property type and jurisdiction
Customize rent terms, lease term, permitted uses, and expense responsibilities
Minimise disputes by clearly defining each party’s obligations
Save time by automating document creation and download in PDF or Word format
What Is a Commercial Lease Agreement?
A commercial lease agreement is a legally binding contract between a landlord (or property owner) and a business tenant (lessee) who rents a property for commercial use. It defines the terms under which the tenant will occupy and use the space, how much rent is paid, what the lease term is, who maintains what, and how the property can be used.
Unlike a residential lease, a commercial lease often offers far more freedom of contract (meaning fewer statutory protections for the tenant) and includes more detailed clauses on business-use, insurance, operating expenses, and assignment/subletting.
Whether you are leasing retail space, an office, a warehouse, or another business property, having a solid commercial lease agreement sets the foundation for a fair and enforceable rental relationship.
Why a Commercial Lease Agreement Matters
A well-drafted commercial lease serves multiple critical purposes:
It protects the landlord’s investment by spelling out rent, use, maintenance, and default procedures.
It protects the tenant by clarifying permitted uses, lease term, renewal options, and liabilities.
It lays out how costs such as insurance, taxes, and maintenance will be handled (especially important in commercial leases where such costs can be large).
It ensures both parties know what happens if the business moves, shuts down, or the landlord sells the property.
It helps avoid costly conflicts by putting the terms in writing and making obligations enforceable.
Because commercial leases often involve longer terms, higher rents and greater risk for both parties than typical residential leases, getting the agreement right is essential.
Essential Clauses in a Commercial Lease Agreement
For a commercial lease agreement to provide utility and legal clarity, several key clauses should be included:
1. Parties Involved Specify the full legal names of the landlord/lessor and the tenant/lessee (which may be a company or other legal entity), plus contact details.
2. Property Details / Premises Describe the leased property clearly: address, unit or suite number, total area (e.g., square footage/metres), and any designated common areas.
3. Lease Term State the start date and end date of the lease. Include whether it is a fixed-term or has renewal options or periodic arrangements.
4. Rent and Payment Terms Detail how much rent is payable, the payment schedule (monthly, quarterly, etc.), when payment is due, any escalation clauses (increase over time) and penalties for late payment.
5. Operating Expenses, Taxes, Insurance, Maintenance Define who pays what: will the tenant handle utilities, property taxes, insurance, maintenance, repairs? What are the landlord’s responsibilities? Commercial leases frequently assign many operating costs to the tenant (i.e., net leases).
6. Permitted Use & Restrictions Set out what business activities are permitted on the premises and what is prohibited. Include signage, hours of operation, alterations, sub-letting or assignment.
7. Maintenance and Repairs Spell out who is responsible for structural repairs, HVAC, interior fixtures, common area maintenance, etc. Clearly define obligations and processes.
8. Assignment & Subletting Indicate whether the tenant may assign the lease or sublet to another party, what conditions apply, and any required landlord consent or guarantees.
9. Insurance & Liability Set out insurance requirements for both landlord and tenant, including minimum coverage, who pays, proof of insurance, indemnity clauses.
10. Termination, Default & Renewal Specify what events constitute default (non-payment of rent, breach of use, etc.), how notices must be given, what rights the parties have, and how renewal or termination will be handled.
11. Governing Law & Dispute Resolution Which jurisdiction’s law applies to the lease, and how will disputes be resolved (mediation, arbitration, court)?
Including these clauses in your template ensures clarity, legality, and a strong baseline for negotiation and enforcement.
How to Create a Commercial Lease Agreement with Wansom AI
With Wansom AI you can create a fully-customised commercial lease agreement in minutes, without needing to draft from scratch or rely on generic forms.
Steps:
Log in to your Wansom AI account and select “Commercial Lease Agreement Template.”
Enter property details—address, type of premises (e.g., retail shop, office, warehouse), size and key features.
Specify lease terms—lease duration, rent amount, payment frequency, escalation clause.
Indicate responsibilities for expenses and maintenance: who pays taxes, insurance, utilities, repairs?
Define permitted uses of the property, any restrictions, subletting and assignment conditions.
Review the automatically generated draft, edit or add any custom clauses your situation demands.
Download the lease in PDF or Word format—or send it for e-signature.
Because Wansom AI templates incorporate jurisdiction-aware legal language and standard commercial lease structures, you save time and reduce risk of missing key clauses.
Related Blog: How to Negotiate the Right Commercial Lease
Examples of Commercial Lease Agreement Templates
Creating a commercial lease agreement template is not just filling in forms—it’s about structuring your contract for clear business relationships, expense control, and long-term tenancy stability. Below are real-world examples of how different business types can use commercial lease templates in practice:
Lease Agreement Templates for Retail & Hospitality
These templates address businesses in shopping centres, restaurants, cafes or entertainment venues:
Retail Lease Agreement Template – covering signage, customer footfall liability, shared common area costs.
Restaurant or Café Lease Agreement Template – built to include food service use, health-code requirements, chimney or extraction systems, equipment investment.
Hospitality/Hotel Commercial Lease Template – designed for business premises that include guest services, rooms and long-term operator models.
Lease Agreement Templates for Offices & Co-Working Spaces
For business tenants renting spaces to operate professional services or teams:
Office Lease Agreement Template – suits firms renting floors or suites; includes service-charges, HVAC, telecoms, fit-outs.
Co-Working Space Lease Template – tailored for shared workspace situations, handling membership tenancy, shared amenities, meeting rooms.
Business Centre Lease Agreement Template – for managed business centres with flexible terms and multiple tenants per building.
Lease Agreement Templates for Industrial, Warehouse & Specialized Use
These templates apply where heavier business operations occur:
Warehouse/Logistics Lease Agreement Template – addresses large storage spaces, loading docks, high-volume traffic, equipment.
Manufacturing/Industrial Lease Agreement Template – includes heavy machinery, special utilities, environmental compliance, zoning restrictions.
Specialised Use Lease Template (Lab, R&D, Data Centre) – crafted for businesses with non-standard space needs like labs or server farms.
For each of these templates, Wansom AI allows custom inputs so you adjust size, rent structure, expense allocation, permitted use and term length according to your unique business and property.
Creating a commercial lease doesn’t have to be intimidating. Although manual drafting is possible, it is time-consuming and prone to error. That is why Wansom AI offers ready-to-use intelligent lease templates that you can generate instantly and customise for your situation.
Simplify Commercial Lease Creation with Wansom AI
Wansom AI helps landlords, property owners, business tenants and property managers draft, manage and customise commercial lease agreements with ease. With Wansom you can:
Generate tailored commercial lease agreements instantly, saving hours of work.
Use lawyer-reviewed templates built for commercial property and business use.
Include clauses specific to your business type, property use and expense structure.
Collaborate with tenants or co-signers through secure digital workflows.
Whether you’re entering a brand new lease, renewing an existing tenancy, or negotiating key terms in a commercial contract, Wansom AI makes the process straightforward and professional.
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Other Related Free Commercial Lease Agreement Templates
Residential Lease Agreement Template Designed for standard residential properties such as houses, apartments, or condos. Includes rent, term, and maintenance clauses. With Wansom AI, you can customize it to match local laws and your property.
Sublease Agreement Template For tenants or business operators wishing to sublet their leased space. Includes rights and obligations of the subtenant and original tenant, landlord consent requirements and assignment conditions.
General Release Agreement Template Used when parties wish to release each other from further obligations under a lease. Ideal when closing a tenancy early, relocating or settling claims. Wansom AI generates a legally sound release document effortlessly.
Lease Renewal Agreement Template For tenants and landlords extending an existing commercial lease. Outlines updated rent, term extension, revised conditions and landmark changes. With Wansom you can renew or update in minutes.
Rent Increase Notice Template For landlords to issue formal notice of upcoming rent adjustments in line with lease terms and local regulation. Wansom AI helps ensure the notice is compliant and professionally structured.
Equipment Lease Agreement Template Applies when a business leases equipment (such as heavy machinery or specialised systems) rather than only real estate. Includes terms on ownership, maintenance and rental period. Wansom supports this scenario too.
Office Lease Agreement Template Suited for businesses renting office space—whether a suite in a building or an entire floor. Covers service charges, fit-out matters, common area maintenance and lease term. Wansom AI customises accordingly.
Vehicle Lease Agreement Template For businesses leasing vehicles—cars, trucks or fleets. Includes mileage limitations, insurance, maintenance and lease return conditions. Though not purely real estate, Wansom handles this asset-lease scenario.
Farm Lease Agreement Template For agricultural business tenants leasing farmland or farm buildings for crop production, livestock or agri-business. Includes land-use, water rights, equipment access and rental term. Wansom’s templates cater here too.
Free Hunting Lease Agreement Template Ideal for landowners leasing property for hunting or wildlife-use business operations. Includes access rules, permitted game, liability waiver and seasonal terms. Wansom AI makes even niche business leasing easier.
Early Lease Termination Agreement Template Enables tenants or landlords to end the lease early by mutual agreement. Details notice periods, settlement of outstanding obligations and exit conditions. Wansom simplifies this amicable exit document.
Frequently Asked Questions on Commercial Lease Agreements
1. Is a commercial lease the same as a residential lease? No. While both are rental agreements, a commercial lease is for business premises and offers far less statutory protection for the tenant. The terms are more negotiable, tailored and often riskier.
2. How do I choose the right type of commercial lease (net, gross, modified)? Different lease types allocate operating expenses differently. For example, a net lease may require the tenant to pay taxes, insurance and maintenance, while a gross lease puts most costs on the landlord. Understanding the type helps in budgeting and negotiating.
3. Can I negotiate a commercial lease? Absolutely. Commercial leases are highly negotiable; term length, rent escalation, improvement responsibilities, break clauses and subletting rights are all open for negotiation if you have the right leverage.
4. Do I need a lawyer to draft or review a commercial lease? While not always required, engaging a solicitor or specialized commercial property lawyer is strongly recommended because of the complexity, high stakes and custom nature of commercial leases.
5. What happens if the business needs to move before the lease term ends? You will need to review any break clause (tenant or landlord) or negotiate an early termination or assignment/sublease option. The lease should include details of what happens in those scenarios.
Create Your Commercial Lease Agreement with Wansom AI
Don’t spend time reinventing the wheel or worrying about missing critical clauses. With Wansom AI you can generate a compliant, well-structured commercial lease tailored to your property and business needs in minutes.
Generate your free Commercial Lease Agreement now on wansom.ai and ensure your lease is accurate, professional and ready for signature.