New York Commercial Lease Agreement – PDF Template
The New York commercial lease allows the renting of retail, industrial, or office space between a property manager/owner and an individual or entity. This type of arrangement is usually three (3) to five (5) years along with the tenant typically having the “option” to renew for more years at a predetermined rental rate if they should choose to stay.
If the landlord is accepting a new business, he or she is recommended to require a rental application and a personal guaranty to make sure that if the business is not profitable that the person has the assets to pay rent every month. The landlord will usually have money invested for the tenant to fit-up the space into a “vanilla shell” for move-in.
There are two (2) basic ways to structure a commercial lease;
Triple Net (NNN) – This is the arrangement where a tenant pays the rental amount every month as well as the utilities (electricity, water, etc.), taxes, insurance, common area maintenance (CAM’s), and all related expenses with the property.
Modified Gross – This is where the tenant will pay for a fixed rent amount and a portion of the expenses related to the property.
Gross – This is an arrangement where the tenant will only pay a fixed amount every month, and the landlord will pay all the expenses and take care of the common area maintenance (CAM’s) associated with the space.