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Master Tenant Subtenant Agreement Template for Malaysia

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Key Requirements PROMPT example:

Master Tenant Subtenant Agreement

"I need a Master Tenant Subtenant Agreement for a commercial office space in Kuala Lumpur, where my company will be the master tenant subletting to three different tech startups, with the arrangement to commence from March 1, 2025."

Document background
The Master Tenant Subtenant Agreement is essential in situations where a primary tenant wishes to sublease a property to another party while maintaining their lease with the original landlord in Malaysia. This document is particularly relevant in commercial and residential real estate contexts where complex tenancy arrangements are required. The agreement must comply with Malaysian property law, including the National Land Code 1965, Contracts Act 1950, and relevant state-specific regulations. It typically includes detailed provisions for rent payment structures, maintenance responsibilities, insurance requirements, and default remedies. The Master Tenant Subtenant Agreement serves as a crucial tool for property management companies, commercial landlords, and businesses engaging in property subletting arrangements, ensuring clear delineation of rights and responsibilities while maintaining legal compliance with Malaysian regulations.
Suggested Sections

1. Parties: Identifies and provides details of the Landlord, Master Tenant, and Subtenant

2. Background: Explains the context of the agreement, including the existence of the head lease and the intention to sublease

3. Definitions: Defines key terms used throughout the agreement, including Property, Head Lease, Sublease, Term, and Rent

4. Grant of Sublease: Formal grant of the sublease from Master Tenant to Subtenant, subject to head lease terms

5. Term and Renewal: Specifies the duration of the sublease and any renewal options, ensuring it doesn't exceed head lease term

6. Rent and Payment Terms: Details of rent amount, payment schedule, method of payment, and late payment consequences

7. Security Deposit: Specifies the security deposit amount, terms of holding, and conditions for refund

8. Utilities and Outgoings: Allocation of responsibility for utility payments and other property-related expenses

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

10. Maintenance and Repairs: Responsibilities for property maintenance and repairs between all parties

11. Insurance: Insurance requirements for both Master Tenant and Subtenant

12. Assignment and Further Subletting: Restrictions on assignment and further subletting of the property

13. Default and Termination: Events of default and termination rights for all parties

14. Governing Law and Jurisdiction: Specifies Malaysian law as governing law and jurisdiction for disputes

Optional Sections

1. Property Management: Include when specific property management arrangements are required for large or complex properties

2. Fit-out Works: Include when the Subtenant is permitted to conduct renovation or fit-out works

3. Break Clause: Include when early termination options are to be provided to any party

4. Service Charge: Include for properties in managed buildings or complexes with service charges

5. Green Lease Provisions: Include for properties with specific environmental or sustainability requirements

6. Quiet Enjoyment: Include when specific provisions for peaceful possession need to be emphasized

7. Right of First Refusal: Include when Subtenant is given priority rights for future leasing

8. Covid-19 or Force Majeure Provisions: Include specific provisions for pandemic or other force majeure events

Suggested Schedules

1. Schedule 1 - Property Details: Detailed description of the property including address, boundaries, and included fixtures

2. Schedule 2 - Head Lease Terms: Key terms from the head lease that affect the sublease

3. Schedule 3 - Rent Schedule: Detailed breakdown of rent payments, including any scheduled increases

4. Schedule 4 - Condition Report: Detailed report of property condition at commencement of sublease

5. Schedule 5 - House Rules: Building rules and regulations applicable to the property

6. Schedule 6 - Inventory List: List of furnishings and equipment included in the lease

7. Appendix A - Floor Plans: Detailed floor plans of the property

8. Appendix B - Photos: Photographic evidence of property condition at commencement

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

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Relevant Industries

Real Estate

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Property Manager

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Contract Manager

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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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