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Rental Purchase Agreement
"I need a Rental Purchase Agreement for a commercial warehouse in Mumbai, with monthly rental payments of ₹75,000 starting from March 1, 2025, and an option to purchase after 24 months at a predetermined price of ₹1.5 crore, including provisions for property maintenance and insurance requirements."
1. Parties: Identification and details of the Owner/Seller and the Tenant/Purchaser, including full legal names, addresses, and registration details for companies
2. Background: Context of the agreement, including brief property description and parties' intention to enter into a rental purchase arrangement
3. Definitions: Definitions of key terms used throughout the agreement, including 'Property', 'Rental Period', 'Purchase Price', 'Installments', etc.
4. Property Details: Comprehensive description of the property subject to the rental purchase agreement
5. Term and Possession: Duration of the rental period, conditions for possession, and timing of transfer of ownership
6. Rental Payments: Details of regular rental payments, including amount, due dates, and payment methods
7. Purchase Terms: Total purchase price, credit towards purchase from rental payments, and final payment details
8. Maintenance and Repairs: Responsibilities for property maintenance, repairs, and improvements during the rental period
9. Insurance and Taxes: Requirements for property insurance and responsibility for payment of taxes
10. Default and Remedies: Consequences of default in rental payments or breach of agreement terms
11. Transfer of Title: Conditions and process for final transfer of property ownership
12. Representations and Warranties: Statements and guarantees made by both parties regarding the property and their capacity to enter the agreement
13. Governing Law and Jurisdiction: Specification of Indian law as governing law and jurisdiction for dispute resolution
1. Early Purchase Option: Terms for early exercise of purchase option, used when parties want to allow for purchase before the end of the rental period
2. Property Use Restrictions: Specific restrictions on property use, included when property has particular usage limitations or requirements
3. Third Party Rights: Provisions regarding existing tenants or other third-party rights, included when relevant to the property
4. Environmental Compliance: Environmental obligations and compliance requirements, included for properties with environmental concerns
5. Alterations and Improvements: Terms for making changes to the property, included when significant modifications are anticipated
6. Assignment and Subletting: Rights and restrictions regarding transfer of rights or subletting, included when these options need to be addressed
7. Force Majeure: Provisions for unforeseen circumstances, included when specific risk allocation is needed
1. Schedule 1 - Property Description: Detailed description of the property including boundaries, fixtures, and fittings
2. Schedule 2 - Payment Schedule: Detailed breakdown of rental payments, purchase price calculations, and payment milestones
3. Schedule 3 - Property Condition Report: Detailed assessment of property condition at the start of the agreement
4. Schedule 4 - Maintenance Requirements: Specific maintenance obligations and standards to be maintained
5. Schedule 5 - Permitted Uses: Detailed list of permitted uses of the property
6. Appendix A - Property Documents: Copies of property title, tax records, and other relevant documentation
7. Appendix B - Insurance Requirements: Detailed insurance specifications and coverage requirements
Authors
Real Estate
Commercial Property
Residential Property
Retail
Manufacturing
Equipment and Machinery
Industrial
Agriculture
Automotive
Construction
Legal
Real Estate
Finance
Operations
Risk Management
Compliance
Property Management
Asset Management
Commercial
Business Development
Real Estate Manager
Property Manager
Legal Counsel
Contract Manager
Commercial Director
Chief Financial Officer
Asset Manager
Facilities Manager
Risk Manager
Compliance Officer
Real Estate Agent
Property Developer
Business Development Manager
Operations Manager
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