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Commercial Property Lease Agreement Template for United Arab Emirates

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Key Requirements PROMPT example:

Commercial Property Lease Agreement

"I need a Commercial Property Lease Agreement for a retail space in Dubai Mall, with specific provisions for 24/7 operation and digital signage rights, starting from March 1, 2025, with a high-end fashion retail tenant that requires significant fit-out work."

Document background
The Commercial Property Lease Agreement serves as the primary legal instrument for establishing commercial tenancy relationships in the United Arab Emirates. This document is essential when a property owner (landlord) intends to lease commercial space to a business entity (tenant) for commercial purposes such as retail, office, or industrial use. The agreement must comply with UAE federal laws, including the Civil Code and Commercial Transactions Law, as well as specific emirate-level regulations such as Dubai's Law No. 26 of 2007 or Abu Dhabi's Law No. 20 of 2006. It typically includes detailed provisions covering lease term, rent payments, maintenance obligations, permitted use, service charges, and other critical terms while ensuring alignment with local property registration requirements and RERA guidelines where applicable.
Suggested Sections

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

2. Background: Brief context of the agreement and confirmation of the Landlord's ownership and authority to lease the property

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

4. Demised Premises: Detailed description of the leased property, including its location, size, and boundaries

5. Term and Renewal: Duration of the lease, commencement date, expiry date, and renewal terms

6. Rent and Payment Terms: Rent amount, payment schedule, security deposit, and other financial obligations

7. Service Charges: Details of additional charges for building services, maintenance, and utilities

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

9. Tenant's Obligations: Comprehensive list of tenant responsibilities including maintenance, repairs, and compliance with regulations

10. Landlord's Obligations: Landlord's commitments regarding property maintenance, insurance, and services

11. Insurance: Required insurance coverage for both parties

12. Assignment and Subletting: Conditions under which the tenant may assign or sublet the premises

13. Alterations and Improvements: Rules regarding modifications to the premises

14. Default and Remedies: Events of default and corresponding remedies available to either party

15. Termination: Conditions and procedures for early termination

16. Handover: Conditions and procedures for property handover at the end of the lease

17. Notices: Methods and addresses for official communications between parties

18. Governing Law and Jurisdiction: Confirmation of UAE law application and jurisdiction for dispute resolution

Optional Sections

1. Force Majeure: Provisions for unforeseen circumstances preventing performance of obligations - particularly relevant post-COVID

2. Break Clause: Optional early termination rights - included for longer-term leases

3. Fit-out Works: Specifications for initial tenant improvements - relevant for shell-and-core properties

4. Trading Requirements: Specific operating hours and trading conditions - relevant for retail properties

5. Service Level Agreement: Detailed service standards - relevant for high-end commercial properties

6. Green Lease Provisions: Environmental and sustainability requirements - relevant for LEED-certified or sustainable buildings

7. Exclusivity Clause: Restrictions on leasing to competitors - relevant for retail properties in malls

8. Signage Rights: Regulations regarding external signage - important for retail and branded premises

Suggested Schedules

1. Property Floor Plan: Detailed floor plan showing the leased area and common areas

2. Rent Payment Schedule: Detailed breakdown of rent payments, including any stepped increases

3. Service Charge Budget: Itemized list of service charges and estimated annual costs

4. Handover Condition Report: Detailed description and photographs of the property condition at handover

5. Fit-out Guidelines: Technical specifications and requirements for any tenant improvements

6. Building Rules and Regulations: Comprehensive list of building rules, including access times and security procedures

7. Permitted Alterations: List of pre-approved alterations that can be made to the premises

8. Equipment Inventory: List of any equipment or fixtures included in the lease

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions






























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Relevant Industries

Retail

Office Space

Industrial

Hospitality

Healthcare

Education

Financial Services

Technology

Manufacturing

Logistics

Professional Services

Food and Beverage

Entertainment

Automotive

Real Estate

Relevant Teams

Legal

Finance

Operations

Facilities Management

Real Estate

Procurement

Compliance

Risk Management

Business Development

Property Management

Administration

Commercial Operations

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Real Estate Manager

Facilities Manager

Legal Counsel

Property Manager

Operations Director

Business Development Manager

Finance Director

Commercial Manager

Procurement Manager

Asset Manager

Compliance Officer

Risk Manager

Store Manager

Branch Manager

Regional Director

Leasing Manager

Contract Administrator

General Counsel

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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