AGREEMENT TO LEASE

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At a Glance

An agreement to lease is an agreement to lease a particular property at some time in the future. Often the lease is for premises that are under construction. The premises are often customised to suit a particular tenant. By signing an Agreement to Lease the landlord has the security of knowing that their property will be occupied when complete and the tenant knows they will have the premises leased to them.

Agreements to lease can take many forms. Some are relatively shorty and confirm the commercial terms of the lease to be entered into. Some are more complex and allow the tenant to have access to the property for the purposes of fitout.

Our Agreements to Lease bundle has three Agreements to Lease ranging in complexity to short, medium and complex.

 

 

 

Essential Lease Provisions

  • Lease Commencement Date – Defines when the formal lease will take effect.
  • Pre-Lease Obligations – Outlines conditions to be met before lease execution.
  • Rental Payments & Security Deposit – Details rent amount, due dates, and deposit requirements.
  • Property Use & Permitted Activities – Specifies how the premises may be used.
  • Lease Term & Renewal Options – Establishes the agreed rental period and renewal rights.

Comprehensive Lease Coverage

Core Lease Components

  • Binding vs. Non-Binding Terms – Clarifies which terms are legally enforceable.
  • Landlord & Tenant Responsibilities – Defines obligations before lease execution.
  • Fit-Out & Alterations – Details any permitted modifications before occupation.
  • Insurance Requirements – Specifies liability coverage before occupancy.
  • Termination & Default Provisions – Outlines what happens if either party breaches the agreement.

Legal & Compliance Considerations

  • Compliance with Strata & Building Rules – Ensures adherence to property regulations.
  • Dispute Resolution & Legal Recourse – Establishes procedures for resolving conflicts.
  • Special Conditions – Allows for additional negotiated terms specific to the lease arrangement.

Compliance with Property Laws

Agreements to Lease must comply with property and tenancy laws, ensuring that all negotiated lease terms are legally enforceable. This agreement helps protect both landlords and tenants by setting clear expectations before a formal lease is signed. Consulting a legal expert or a real estate professional can provide additional guidance tailored to your specific situation.

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