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Commercial Lease Agreement Form for United Arab Emirates

Commercial Lease Agreement Form Template for United Arab Emirates

A comprehensive legal document governed by UAE law that establishes the terms and conditions for leasing commercial property in the United Arab Emirates. This agreement complies with federal laws including UAE Civil Code (Federal Law No. 5 of 1985) and relevant emirate-specific regulations. It covers essential elements such as rental terms, payment schedules, maintenance responsibilities, and usage restrictions while incorporating local commercial practice requirements. The document includes specific provisions for security deposits, utility connections, and fit-out works as per UAE market standards, along with clear dispute resolution mechanisms aligned with UAE legal framework.

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What is a Commercial Lease Agreement Form?

The Commercial Lease Agreement Form is a standardized legal instrument designed for use in the United Arab Emirates' commercial real estate market. This document is essential when businesses seek to lease commercial space for their operations, whether for retail, office, or industrial purposes. It incorporates requirements from UAE federal laws, including the Civil Code and Commercial Transactions Law, as well as emirate-specific regulations such as RERA guidelines in Dubai. The agreement covers crucial aspects including rent determination, payment terms, maintenance obligations, permitted use, and termination conditions. It's structured to protect both landlord and tenant interests while ensuring compliance with local business practices and Sharia principles that influence UAE commercial law.

What sections should be included in a Commercial Lease Agreement Form?

1. Parties: Identification of the Landlord and Tenant with full legal names, trade license details, and authorized representatives

2. Background: Brief context of the lease arrangement and property overview

3. Definitions: Key terms used throughout the agreement including Property, Commencement Date, Term, Rent, etc.

4. Demise: Formal grant of lease and detailed property description

5. Term: Duration of lease, commencement date, and expiry date

6. Rent and Payment Terms: Rent amount, payment schedule, security deposit, and payment methods

7. Service Charges: Additional charges, utilities, maintenance fees, and DEWA charges

8. Use of Premises: Permitted use of property and any restrictions

9. Tenant's Obligations: Maintenance, repairs, alterations, compliance with laws, insurance requirements

10. Landlord's Obligations: Building maintenance, insurance, quiet enjoyment provisions

11. Assignment and Subletting: Restrictions on transfer of lease rights

12. Termination: Grounds for termination, notice requirements, and consequences

13. Handover: Condition for property return and restoration requirements

14. Governing Law and Jurisdiction: UAE law application and dispute resolution procedures

15. Notices: Communication methods and contact details for official notices

What sections are optional to include in a Commercial Lease Agreement Form?

1. Fit-out Works: Include when tenant is permitted to conduct initial modifications to the premises

2. Break Clause: Include when early termination options are negotiated

3. Rent Free Period: Include when an initial rent-free period is granted

4. Option to Renew: Include when tenant has right to extend lease term

5. Force Majeure: Include specific provisions for unforeseen circumstances

6. Green Lease Provisions: Include for environmentally conscious developments

7. Exclusivity Clause: Include when tenant requires protection from competing businesses

8. COVID-19 Provisions: Include specific arrangements for pandemic-related disruptions

What schedules should be included in a Commercial Lease Agreement Form?

1. Schedule 1 - Property Plan: Detailed floor plan and property boundaries

2. Schedule 2 - Inventory: List of fixtures, fittings, and equipment included in lease

3. Schedule 3 - Service Charge Details: Breakdown of service charges and calculation method

4. Schedule 4 - Building Rules and Regulations: Specific rules for property use and common areas

5. Schedule 5 - Fit-out Guidelines: Technical specifications for permitted alterations

6. Schedule 6 - Handover Condition Report: Detailed description of property condition at commencement

7. Schedule 7 - Maintenance Responsibilities Matrix: Clear division of maintenance obligations

8. Appendix A - Required Licenses and Permits: List of mandatory operational permits

9. Appendix B - Insurance Requirements: Detailed insurance specifications

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Publisher

Ƶ

Document Type

Rental Agreement

Cost

Free to use
Relevant legal definitions




























Clauses






























Relevant Industries

Retail

Office Space

Industrial

Hospitality

Healthcare

Education

Technology

Financial Services

Logistics

Manufacturing

Professional Services

Food and Beverage

Entertainment

Warehousing

Mixed-Use Development

Relevant Teams

Legal

Real Estate

Facilities Management

Operations

Finance

Procurement

Compliance

Risk Management

Administration

Property Management

Asset Management

Business Development

Relevant Roles

Real Estate Manager

Property Manager

Facilities Manager

Legal Counsel

Commercial Director

Operations Manager

Chief Financial Officer

Business Development Manager

Procurement Manager

Compliance Officer

Asset Manager

Risk Manager

Chief Executive Officer

Administrative Manager

Leasing Manager

Real Estate Agent

Property Consultant

Contract Manager

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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