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Simple Commercial Lease Agreement for Philippines

Simple Commercial Lease Agreement Template for Philippines

A comprehensive legal document governed by Philippine law that establishes the terms and conditions for leasing commercial property. This agreement outlines the rights and obligations of both the lessor and lessee, including rent payment terms, duration of lease, permitted use of premises, maintenance responsibilities, and other essential commercial tenancy conditions. The document incorporates relevant provisions from the Civil Code of the Philippines and other applicable local regulations, ensuring compliance with Philippine real estate and commercial law requirements while protecting the interests of all parties involved.

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Simple Commercial Lease Agreement

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What is a Simple Commercial Lease Agreement?

The Simple Commercial Lease Agreement is a fundamental legal instrument used in the Philippine real estate market for establishing commercial tenancy relationships. This document is essential when a property owner (lessor) wishes to lease commercial space to a business tenant (lessee) under Philippine jurisdiction. It encompasses crucial elements required by Philippine law, including property details, rental terms, duration, permitted use, and maintenance obligations. The agreement is structured to comply with the Civil Code of the Philippines and relevant local regulations while providing clear guidelines for both parties. It's particularly valuable for businesses establishing new locations, landlords managing commercial properties, and property managers overseeing leased premises. The document serves as a comprehensive framework for managing the landlord-tenant relationship while ensuring legal compliance and protection for all parties involved.

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

1. Parties: Identification of the Lessor and Lessee with complete legal names and addresses

2. Background: Brief context of the agreement and description of the premises

3. Definitions: Definitions of key terms used throughout the agreement

4. Demise: The formal granting of the lease and description of the leased premises

5. Term: Duration of the lease, commencement date, and end date

6. Rent and Payment Terms: Rental amount, payment schedule, and method of payment

7. Security Deposit: Amount, terms, and conditions for the security deposit

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

9. Utilities and Services: Responsibility for utilities, services, and associated costs

10. Maintenance and Repairs: Obligations of both parties regarding property maintenance

11. Insurance: Required insurance coverage and responsibilities

12. Default and Remedies: Events of default and available remedies

13. Termination: Conditions and procedures for lease termination

14. Governing Law: Specification of Philippine law as governing law

15. Notices: Process for sending and receiving formal notices

16. Execution: Signature blocks and execution requirements

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

1. Option to Renew: Terms for lease renewal, used when parties want to include renewal options

2. Tenant Improvements: Terms for modifications to the premises, needed when tenant improvements are permitted

3. Common Areas: Rules for shared spaces, included for premises in multi-tenant buildings

4. Assignment and Subletting: Terms for transferring lease rights, included when these rights are to be granted

5. Force Majeure: Provisions for unforeseen events, particularly relevant post-COVID

6. Environmental Matters: Environmental compliance requirements, needed for industrial or sensitive commercial uses

7. Signage Rights: Terms for external and internal signage, important for retail premises

8. Parking: Parking rights and restrictions, needed when parking is part of the lease

9. Building Rules: Specific building regulations, included for premises in managed buildings

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

1. Schedule 1 - Property Details: Detailed description of the premises including floor plans and measurements

2. Schedule 2 - Rent Schedule: Detailed breakdown of rent, including any scheduled increases

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

4. Schedule 4 - Building Rules and Regulations: Comprehensive building rules and regulations

5. Schedule 5 - Fit-out Guidelines: Technical specifications for any permitted tenant improvements

6. Schedule 6 - Condition Report: Initial condition of the premises with photographs

7. Schedule 7 - Permitted Use Details: Detailed description of permitted commercial activities

8. Appendix A - Form of Rent Receipt: Standard format for rent receipts as required by Philippine law

9. Appendix B - Insurance Requirements: Detailed insurance specifications and requirements

Authors

Alex Denne

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

Jurisdiction

Philippines

Publisher

抖阴视频

Document Type

Agreement Contract

Cost

Free to use
Relevant legal definitions








































Clauses



































Relevant Industries

Retail

Office Space

Food and Beverage

Healthcare

Professional Services

Banking and Finance

Technology

Manufacturing

Warehousing and Logistics

Education

Entertainment and Leisure

Relevant Teams

Legal

Operations

Finance

Administration

Compliance

Real Estate

Facilities Management

Business Development

Risk Management

Property Management

Relevant Roles

Property Manager

Real Estate Manager

Business Owner

Chief Executive Officer

Chief Financial Officer

Operations Manager

Facility Manager

Legal Counsel

Corporate Lawyer

Real Estate Agent

Leasing Manager

Commercial Director

Business Development Manager

Administrative Manager

Compliance Officer

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, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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