A Pre Lease Agreement is typically used in Austrian real estate transactions when parties have agreed in principle to a lease arrangement but need time to finalize details or meet certain conditions before executing the formal lease. This document serves as a binding commitment between the prospective landlord and tenant, outlining their intentions and protecting both parties' interests during the preliminary phase. It becomes particularly important in commercial leases where significant due diligence, property modifications, or regulatory approvals may be required before the main lease can commence. The agreement must comply with Austrian legal requirements, including provisions of the ABGB (Austrian Civil Code) and Mietrechtsgesetz (Tenancy Act), and typically includes essential terms such as property details, proposed rental terms, conditions precedent, and timelines for completion.
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1. Parties: Identification and details of the prospective landlord and tenant, including full legal names, addresses, and registration numbers for companies
2. Background: Context of the agreement, including the property's current status and parties' intention to enter into a formal lease agreement
3. Definitions: Key terms used throughout the agreement, including Property, Commencement Date, and Lease Terms
4. Property Description: Detailed description of the property to be leased, including address and relevant cadastral details
5. Lease Terms: Principal terms of the proposed lease including duration, proposed rent, and intended use of the property
6. Conditions Precedent: Conditions that must be satisfied before the formal lease agreement becomes effective
7. Due Diligence: Rights and obligations regarding property inspection and verification of documents
8. Deposit and Pre-payments: Details of any deposits or advance payments required, including holding deposits
9. Timeline: Key dates and deadlines for signing the final lease agreement
10. Exclusivity: Commitment from landlord not to negotiate with other potential tenants during the pre-lease period
11. Termination: Circumstances under which either party can terminate the pre-lease agreement
12. Governing Law and Jurisdiction: Confirmation of Austrian law application and jurisdiction for disputes
1. Broker Provisions: Include when a real estate broker is involved in the transaction, detailing commission arrangements
2. Renovation Works: Include when specific renovations or modifications are planned before lease commencement
3. Assignment and Subletting: Include when pre-lease rights may need to be transferred to another party
4. Force Majeure: Include when parties want specific provisions for unforeseen circumstances affecting the pre-lease agreement
5. Confidentiality: Include when sensitive commercial information is being shared during the pre-lease period
6. Environmental Conditions: Include when the property has specific environmental considerations or requirements
7. Planning Permissions: Include when the intended use requires new planning permissions or changes to existing ones
1. Property Plans: Floor plans, site maps, and relevant property drawings
2. Proposed Lease Terms: Detailed draft of key commercial terms for the final lease agreement
3. Due Diligence Checklist: List of documents and inspections required before finalizing the lease
4. Condition Report: Current condition of the property including photographs and descriptions
5. Building Specifications: Technical details of the building including services and facilities
6. Required Permits: List of necessary permits and certificates for the intended use
7. Timeline Schedule: Detailed timeline of key dates and milestones towards lease completion
Relevant legal definitions
Clauses
Relevant Industries
Commercial Real Estate
Retail
Industrial
Office Space
Hospitality
Healthcare
Education
Manufacturing
Logistics
Technology
Financial Services
Relevant Teams
Legal
Real Estate
Operations
Finance
Facilities Management
Risk & Compliance
Business Development
Property Management
Asset Management
Corporate Services
Relevant Roles
Real Estate Manager
Property Manager
Legal Counsel
Commercial Director
Facilities Manager
Chief Financial Officer
Operations Director
Real Estate Broker
Leasing Manager
Asset Manager
Development Manager
Risk Manager
Compliance Officer
Corporate Counsel
Business Development Manager
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