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Property Lease Agreement Template for Malaysia

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Key Requirements PROMPT example:

Property Lease Agreement

"I need a Property Lease Agreement for a commercial office space in Kuala Lumpur, starting from March 1, 2025, with specific provisions for renovation works and an option to renew after the initial 3-year term."

Document background
The Property Lease Agreement serves as a legally binding document under Malaysian law for establishing a lease relationship between property owners and tenants. It is essential for both residential and commercial property transactions in Malaysia, providing a structured framework that complies with the National Land Code 1965, Contracts Act 1950, and other relevant legislation. This agreement is used when a property owner wishes to lease their property to a tenant for a specified period, typically including detailed terms about rent, security deposits, maintenance responsibilities, and use restrictions. It protects both parties' interests by clearly defining their rights and obligations, ensuring compliance with local property laws, and establishing procedures for dispute resolution. The document is particularly important in the Malaysian context as it incorporates specific local legal requirements and customary practices in property leasing.
Suggested Sections

1. Parties: Identification and details of the landlord and tenant, including NRIC/passport numbers and addresses

2. Background: Brief context of the lease arrangement and property ownership

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

4. Demised Premises: Detailed description of the leased property including address and boundaries

5. Term and Possession: Duration of lease, commencement date, and possession details

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

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

8. Utility Charges: Responsibility for utilities, including electricity, water, gas, and internet

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

10. Maintenance and Repairs: Responsibilities of landlord and tenant for maintenance and repairs

11. Insurance: Insurance requirements for both parties

12. Tenant's Covenants: Obligations and promises of the tenant

13. Landlord's Covenants: Obligations and promises of the landlord

14. Termination: Grounds and procedure for termination of the lease

15. Notices: Method and addresses for serving notices between parties

16. Governing Law: Specification of Malaysian law as governing law and jurisdiction

Optional Sections

1. Option to Renew: Terms for lease renewal, used when offering tenant the option to extend the lease

2. Subletting and Assignment: Terms regarding subletting rights, included when subletting might be permitted

3. Renovation and Alterations: Terms for making changes to the property, included for properties where modifications might be allowed

4. Car Parking: Terms for parking facilities, included when parking is available

5. Common Areas: Rules for common areas, included for properties in multi-unit buildings

6. Pet Policy: Terms regarding keeping pets, included when pets might be allowed

7. Break Clause: Early termination provisions, included when early termination might be permitted

8. Quiet Enjoyment: Additional provisions for tenant's peaceful occupation, particularly relevant for residential leases

9. Green Lease Provisions: Environmental and sustainability requirements, included for green buildings or when specifically requested

Suggested Schedules

1. Schedule 1 - Property Details: Detailed description of property including floor plan and boundaries

2. Schedule 2 - Inventory List: List of furniture, fixtures, and fittings included in the lease

3. Schedule 3 - House Rules: Specific rules and regulations for the property

4. Schedule 4 - Service Charges: Breakdown of service charges if applicable

5. Schedule 5 - Condition Report: Detailed report of property condition at commencement of lease

6. Appendix A - Photos: Photographs documenting property condition

7. Appendix B - Building Plans: Relevant building plans and layout drawings

8. Appendix C - Maintenance Schedule: Schedule of regular maintenance tasks and responsibilities

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

































Clauses






























Relevant Industries

Real Estate

Residential Property

Commercial Property

Industrial Property

Retail

Office Space

Hospitality

Manufacturing

Warehouse and Storage

Mixed-Use Development

Relevant Teams

Legal

Real Estate

Property Management

Facilities Management

Operations

Asset Management

Compliance

Contract Administration

Property Development

Tenant Relations

Relevant Roles

Property Manager

Real Estate Agent

Facilities Manager

Legal Counsel

Property Administrator

Asset Manager

Leasing Manager

Property Development Manager

Real Estate Investment Manager

Compliance Officer

Contract Administrator

Property Operations Manager

Real Estate Portfolio Manager

Tenant Relations Manager

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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