Fillable Printable COMMERCIAL LEASE AGREEMENT FORM

COMMERCIAL LEASE AGREEMENT FORM

COMMERCIAL LEASE AGREEMENT

Boulder Creek Business Park, LLC

110A Rose Lane, Suite # 101

Frisco, TX 75034

LANDLORD _________

TENANT ______________

COMMERCIAL LEASE AGREEMENT

THIS LEASE AGREEMENT is made and entered into ____________(date), by and

between Boulder Creek Business Park, LLC, whose address is 110A Rose Lane, Suite #

101, Frisco, Texas 75034, (hereinafter referred to as "Landlord"), and

___________________________________________________, whose address is

___________ ________________ _______________________, (hereinafter referred to

as "Tenant").

ARTICLE I - GRANT OF LEASE

Landlord, in consideration of the rents to be paid and the covenants and agreements to be

performed and observed by the Tenant, does hereby lease to the Tenant and the Tenant

does hereby lease and take from the Landlord the property described in Exhibit "A"

attached hereto and by reference made a part hereof (the "Leased Premises"), together

with, as part of the parcel, all improvements located thereon.

ARTICLE II - LEASE TERM

Section l. Total Term of Lease. The term of this Lease shall begin on the

commencement date, as defined in Section 2 of this Article II, and shall terminate on

__ ______________ ____________________

Section 2. Commencement Date. The "Commencement Date" shall mean the date on

which the Tenant shall commence to conduct business on the Leased Premised, so long

as such date is not in excess of sixty (60) days subsequent to execution hereof.

__________________________________.

ARTICLE III - EXTENSIONS

The parties hereto may elect to extend this Agreement upon such terms and conditions as

may be agreed upon in writing and signed by the parties at the time of any such

extension.

ARTICLE IV - DETERMINATION OF RENT

The Tenant agrees to pay the Landlord and the Landlord agrees to accept, during the

term hereof, at such place as the Landlord shall from time to time direct by notice to the

Tenant, rent at the following rates and times:

LANDLORD _________

TENANT ______________

Section 1. Rent Sheet On or before the first day of each month during this lease,

Tenant will pay Landlord monthly base rent as follows:

FROM TO MONTHLY BASE RENT

A late fee of $50.00 will be assessed if payment is not postmarked or received by the

Landlord on or before the fifth day of the month.

ARTICLE V - SECURITY DEPOSIT

The Tenant has deposited with the Landlord the sum of _________ ___ Dollars (_____)

as security for the full and faithful performance by the Tenant of all the terms of this

lease required to be performed by the Tenant. Such sum shall be returned to the Tenant

after the expiration of this lease, provided the Tenant has fully and faithfully carried out

all of its terms. In the event of a bona fide sale of the property of which the leased

premises are a part, the Landlord shall have the right to transfer the security to the

purchaser to be held under the terms of this lease, and the Landlord shall be released from

all liability for the return of such security to the Tenant.

ARTICLE VI - TAXES

Section l. Personal Property Taxes. The Tenant shall be liable for all taxes levied

against any leasehold interest of the Tenant or personal property and trade fixtures owned

or placed by the Tenant in the Leased Premises.

.ARTICLE VII - CONSTRUCTION AND COMPLETION

Section 1. Improvements by TENANT. Tenant may have prepared plans and

specifications for the construction of improvements, and, if so, such plans and

specifications are attached hereto as Exhibit "B" and incorporated herein by reference.

Tenant shall obtain all certificates, permits, licenses and other authorizations of

governmental bodies or authorities which are necessary to permit the construction of the

improvements on the demised premises and shall keep the same in full force and effect at

Tenant's cost. Tenant shall negotiate, let and supervise all contracts for the furnishing of

services, labor, and materials for the construction of the improvements on the demised

premises at its cost. All such contracts shall require the contracting party to guarantee

performance and all workmanship and materials installed by it for a period of one year

following the date of completion of construction. Tenant shall cause all contracts to be

fully and completely performed in a good and workmanlike manner, all to the effect that

the improvements shall be fully and completely constructed and installed in accordance

with good engineering and construction practice. During the course of construction,

Tenant shall, at its cost, keep in full force and effect a policy of builder's risk and liability

insurance in a sum equal, from time to time, to three times the amount expended for

LANDLORD _________

TENANT ______________

construction of the improvements. All risk of loss or damage to the improvements during

the course of construction shall be on Tenant with the proceeds from insurance thereon

payable to Landlord. Upon completion of construction, Tenant shall, at its cost, obtain an

occupancy permit and all other permits or licenses necessary for the occupancy of the

improvements and the operation of the same as set out herein and shall keep the same in

force. Nothing herein shall alter the intent of the parties that Tenant shall be fully and

completely responsible for all aspects pertaining to the construction of the improvements

of the demised premises and for the payment of all costs associated therewith. Landlord

shall be under no duty to investigate or verify Tenant's compliance with the provision

herein. Moreover, neither Tenant nor any third party may construe the permission granted

Tenant hereunder to create any responsibility on the part of the Landlord to pay for any

improvements, alterations or repairs occasioned by the Tenant. The Tenant shall keep the

property free and clear of all liens and, should the Tenant fail to do so, or to have any

liens removed from the property within fourteen (14) days of notification to do so by the

Landlord , in addition to all other remedies available to the Landlord , the Tenant shall

indemnify and hold the Landlord harmless for all costs and expenses, including attorney's

fees, occasioned by the Landlord in having said lien removed from the property; and,

such costs and expenses shall be billed to the Tenant monthly and shall be payable by the

Tenant with that month's regular monthly rental as additional reimbursable expenses to

the Landlord by the Tenant.

Section 2. Utilities. Landlord shall pay for all water and sewer. Tenant shall pay all

sanitation, electricity, light, heat, gas, power, fuel, janitorial, and other services incident

to Tenant's use of the Leased Premises, whether or not the cost thereof be a charge or

imposition against the Leased Premises.

ARTICLE VIII - OBLIGATIONS FOR REPAIRS

Section 1. LANDLORD'S Repairs. Subject to any provisions herein to the contrary, and

except for maintenance or replacement necessitated as the result of the act or omission of

sub lessees, licensees or contractors, the Landlord shall be required to repair only defects,

deficiencies, deviations or failures of materials or workmanship in the building.

Section 2. TENANT'S Repairs. The Tenant shall repair and maintain the Leased

Premises in good order and condition, except for reasonable wear and tear, the repairs

required of Landlord pursuant hereto, and maintenance or replacement necessitated as the

result of the act or omission or negligence of the Landlord, its employees, agents, or

contractors.

Section 3. Repair and Maintenance Responsibility The specified items must be

maintained in clean and good operable condition. If a governmental regulation or order

requires a modification to any of the specified items, the party designated to maintain the

item must complete and pay the expense of the modification. The specified items include

and relate only to real property in the leased premises. Tenant is responsible for the

repair and maintenance of its personal property. (Check all that apply)

LANDLORD _________

TENANT ______________

Landlord Tenant

(1) Foundation, exterior walls, roof, and other structural components X

(2) Glass and windows X

(3) Fire protection equipment and fire sprinkler systems X

(4) Exterior & overhead doors, including closure devices, molding, locks

and hardware X

(5) Grounds maintenance, including landscaping and ground sprinklers X

(6) Interior doors, including closure devices, frames, molding, locks and

hardware. X

(7) Parking areas and walks X

(8) Plumbing systems, drainage, drainage systems, electrical systems, ballast

and lamp replacement and mechanical systems except those specifically

designated otherwise. X

(9) Heating Ventilation and Air Conditioning (HVAC) systems X

(10) Signs and Lighting: Pylon, facia, Monument, Door/Suite X

(11) Extermination and pest control, excluding wood-destroying insects X

NOTE: Repairs MUST be completed by trained, qualified, and insured repair persons.

Section 4. Requirements of the Law. The Tenant agrees that if any federal, state or

municipal government or any department or division thereof shall condemn the Leased

Premises or any part thereof as not in conformity with the laws and regulations relating to

the construction thereof as of the commencement date with respect to conditions latent or

otherwise which existed on the Commencement Date, or, with respect to items which are

the Landlord's duty to repair pursuant to Section 1, 2 and 3 of this Article; and such

federal, state or municipal government or any other department or division thereof, has

ordered or required, or shall hereafter order or require, any alterations or repairs thereof

or installations and repairs as may be necessary to comply with such laws, orders or

requirements (the validity of which the Tenant shall be entitled to contest); and if by

reason of such laws, orders or the work done by the Landlord in connection therewith, the

Tenant is deprived of the use of the Leased Premises, the rent shall be abated or adjusted,

as the case may be, in proportion to that time during which, and to that portion of the

Leased Premises of which, the Tenant shall be deprived as a result thereof, and the

Landlord shall be obligated to make such repairs, alterations or modifications at

Landlord's expense. All such rebuilding, altering, installing and repairing shall be done in

accordance with Plans and Specifications approved by the Tenant, which approval shall

not be unreasonably withheld. If, however, such condemnation, law, order or

requirement, as in this Article set forth, shall be with respect to an item which shall be the

Tenant's obligation to repair pursuant to Section 2 of this Article VII or with respect to

Tenant's own costs and expenses, no abatement or adjustment of rent shall be granted;

provided, however, that Tenant shall also be entitled to contest the validity thereof.

Section 4. TENANT'S Alterations. The Tenant shall have the right, at its sole expense,

from time to time, to redecorate the Leased Premises and to make such non-structural

LANDLORD _________

TENANT ______________

alterations and changes in such parts thereof as the Tenant shall deem expedient or

necessary for its purposes; provided, however, that such alterations and changes shall

neither impair the structural soundness nor diminish the value of the Leased Premises.

The Tenant may make structural alterations and additions to the Leased Premises

provided that Tenant has first obtained the consent thereto of the Landlord in writing. The

Landlord agrees that it shall not withhold such consent unreasonably. The Landlord shall

execute and deliver upon the request of the Tenant such instrument or instruments

embodying the approval of the Landlord which may be required by the public or quasi

public authority for the purpose of obtaining any licenses or permits for the making of

such alterations, changes and/or installations in, to or upon the Leased Premises and the

Tenant agrees to pay for such licenses or permits.

Section 5. Permits and Expenses. Each party agrees that it will procure all necessary

permits for making any repairs, alterations, or other improvements for installations, when

applicable. Each Party hereto shall give written notice to the other party of any repairs

required of the other pursuant to the provisions of this Article and the party responsible

for said repairs agrees promptly to commence such repairs and to prosecute the same to

completion diligently, subject, however, to the delays occasioned by events beyond the

control of such party. Each party agrees to pay promptly when due the entire cost of any

work done by it upon the Leased Premises so that the Leased Premises at all times shall

be free of liens for labor and materials. Each party further agrees to hold harmless and

indemnify the other party from and against any and all injury, loss, claims or damage to

any person or property occasioned by or arising out of the doing of any such work by

such party or its employees, agents or contractors. Each party further agrees that in doing

such work that it will employ materials of good quality and comply with all governmental

requirements, and perform such work in a good and workmanlike manner.

ARTICLE IX - TENANT'S COVENANTS

Section 1. TENANT's Covenants. Tenant covenants and agrees as follows: a. To

procure any licenses and permits required for any use made of the Leased Premises by

Tenant, and upon the expiration or termination of this Lease, to remove its goods and

effects and those of all persons claiming under it, and to yield up peaceably to Landlord

the Leased Premises in good order, repair and condition in all respects; excepting only

damage by fire and casualty covered by Tenant's insurance coverage, structural repairs

(unless Tenant is obligated to make such repairs hereunder) and reasonable wear and tear;

b. To permit Landlord and its agents to examine the Leased Premises at reasonable times

and to show the Leased Premises to prospective purchasers of the Building and to provide

Landlord, if not already available, with a set of keys for the purpose of said examination,

provided that Landlord shall not thereby unreasonably interfere with the conduct of

Tenant's business; c. To permit Landlord to enter the Leased Premises to inspect such

repairs, improvements, alterations or additions thereto as may be required under the

provisions of this Lease. If, as a result of such repairs, improvements, alterations, or

additions, Tenant is deprived of the use of the Leased Premises, the rent shall be abated

LANDLORD _________

TENANT ______________

or adjusted, as the case may be, in proportion to that time during which, and to that

portion of the Leased Premises of which, Tenant shall be deprived as a result thereof.

ARTICLE X - INDEMNITY BY TENANT

Section l. Indemnity and Public Liability. The Tenant shall save Landlord harmless and

indemnify Landlord from all injury, loss, claims or damage to any person or property

while on the Leased Premises, unless caused by the willful acts or omissions or gross

negligence of Landlord, its employees, agents, licensees or contractors. Tenant shall

maintain, with respect to the Leased Premises, public liability insurance with limits of not

less than one million dollars for injury or death from one accident and $250,000.00

property damage insurance, insuring Landlord and Tenant against injury to persons or

damage to property on or about the Leased Premises. A copy of the policy or a certificate

of insurance shall be delivered to Landlord on or before the commencement date and no

such policy shall be cancelable without ten (10) days prior written notice to Landlord

ARTICLE XI - USE OF PROPERTY BY TENANT

Section 1. Use. The Leased Premises may be occupied and used by Tenant exclusively as

a Office/Warehouse (describe), to be known as a ___________(describe). Nothing herein

shall give Tenant the right to use the property for any other purpose or to sublease,

assign, or license the use of the property to any sub lessee, assignee, or licensee, which or

who shall use the property for any other use.

ARTICLE XII - SIGNAGE

Section l. Exterior Signs. Landlord must approve all exterior signs. If Landlord

approves Tenant shall have the right, at its sole risk and expense and in conformity with

applicable laws and ordinances, to erect and thereafter, to repair or replace, if it shall so

elect signs on any portion of the Leased Premises, providing that Tenant shall remove

any such signs upon termination of this lease, and repair all damage occasioned thereby

to the Leased Premises.

Section 2. Interior Signs. Tenant shall have the right, at its sole risk and expense and in

conformity with applicable laws and ordinances, to erect, maintain, place and install its

usual and customary signs and fixtures in the interior of the Leased Premises.

ARTICLE XIII - INSURANCE

Section 1. Insurance Proceeds. In the event of any damage to or destruction of the

Leased Premises, Tenant shall adjust the loss and settle all claims with the insurance

companies issuing such policies. The parties hereto do irrevocably assign the proceeds

from such insurance policies for the purposes hereinafter stated to any institutional first

LANDLORD _________

TENANT ______________

mortgagee or to Landlord and Tenant jointly, if no institutional first mortgagee then holds

an interest in the Leased Premises. All proceeds of said insurance shall be paid into a

trust fund under the control of any institutional first mortgagee, or of Landlord and

Tenant if no institutional first mortgagee then holds an interest in the Leased Premises,

for repair, restoration, rebuilding or replacement, or any combination thereof, of the

Leased Premises or of the improvements in the Leased Premises. In case of such damage

or destruction, Landlord shall be entitled to make withdrawals from such trust fund, from

time to time, upon presentation of: a. bills for labor and materials expended in repair,

restoration, rebuilding or replacement, or any combination thereof; b. Landlord's sworn

statement that such labor and materials for which payment is being made have been

furnished or delivered on site; and c. the certificate of a supervising architect (selected by

Landlord and Tenant and approved by an institutional first mortgagee, if any, whose fees

will be paid out of said insurance proceeds) certifying that the work being paid for has

been completed in accordance with the Plans and Specifications previously approved by

Landlord , Tenant and any institutional first mortgagee in a first class, good and

workmanlike manner and in accordance with all pertinent governmental requirements. If

the proceeds necessary for such repair, restoration, rebuilding or replacement, or any

combination thereof shall be inadequate to pay the cost thereof, Tenant shall suffer the

deficiency.

Section 2. Subrogation. Landlord and Tenant hereby release each other, to the extent of

the insurance coverage provided hereunder, from any and all liability or responsibility (to

the other or anyone claiming through or under the other by way of subrogation or

otherwise) for any loss to or damage of property covered by the fire and extended

coverage insurance policies insuring the Leased Premises and any of Tenant's property,

even if such loss or damage shall have been caused by the fault or negligence of the other

party.

ARTICLE XIV - DAMAGE TO DEMISED PREMISES

Section 1. Abatement or Adjustment of Rent. If the whole or any part of the Leased

Premises shall be damaged or destroyed by fire or other casualty after the execution of

this Lease and before the termination hereof, then in every case the rent reserved in

Article IV herein and other charges, if any, shall be abated or adjusted, as the case may

be, in proportion to that portion of the Leased Premises of which Tenant shall be deprived

on account of such damage or destruction and the work of repair, restoration, rebuilding,

or replacement or any combination thereof, of the improvements so damaged or

destroyed, shall in no way be construed by any person to effect any reduction of sums or

proceeds payable under any rent insurance policy.

Section 2. Repairs and Restoration. Landlord agrees that in the event of the damage or

destruction of the Leased Premises, Landlord forthwith shall proceed to repair, restore,

replace or rebuild the Leased Premises (excluding Tenant's leasehold improvements), to

substantially the condition in which the same were immediately prior to such damage or

destruction. The Landlord thereafter shall diligently prosecute said work to completion

LANDLORD _________

TENANT ______________

without delay or interruption except for events beyond the reasonable control of

Landlord. Notwithstanding the foregoing, if Landlord does not either obtain a building

permit within thirty(30) days of the date of such damage or destruction, or complete such

repairs, rebuilding or restoration and comply with conditions (a), (b) and (c) in Section 1

of Article XIII within three (3) months of such damage or destruction, then Tenant may at

any time thereafter cancel and terminate this Lease by sending thirty (30) days written

notice thereof to Landlord , or, in the alternative, Tenant may, during said thirty (30) day

period, apply for the same and Landlord shall cooperate with Tenant in Tenant's

application. Notwithstanding the foregoing, if such damage or destruction shall occur

during the last year of the term of this Lease, or during any renewal term, and shall

amount to twenty-five (25%) percent or more of the replacement cost, (exclusive of the

land and foundations), this Lease, except as hereinafter provided in Section 3 of Article

XV, may be terminated at the election of either Landlord or Tenant, provided that notice

of such election shall be sent by the party so electing to the other within thirty (30) days

after the occurrence of such damage or destruction.

Upon termination, as aforesaid, by either party hereto, this Lease and the term thereof

shall cease and come to an end, any unearned rent or other charges paid in advance by

Tenant shall be refunded to Tenant, and the parties shall be released hereunder, each to

the other, from all liability and obligations hereunder thereafter arising.

ARTICLE XV - CONDEMNATION

Section 1. Total Taking. If, after the execution of this Lease and prior to the expiration

of the term hereof, the whole of the Leased Premises shall be taken under power of

eminent domain by any public or private authority, or conveyed by Landlord to said

authority in lieu of such taking, then this Lease and the term hereof shall cease and

terminate as of the date when possession of the Leased Premises shall be taken by the

taking authority and any unearned rent or other charges, if any, paid in advance, shall be

refunded to Tenant.

Section 2. Partial Taking. If, after the execution of this Lease and prior to the expiration

of the term hereof, any public or private authority shall, under the power of eminent

domain, take, or Landlord shall convey to said authority in lieu of such taking, property

which results in a reduction by fifteen (15%) percent or more of the area in the Leased

Premises, or of a portion of the Leased Premises that substantially interrupts or

substantially obstructs the conducting of business on the Leased Premises; then Tenant

may, at its election, terminate this Lease by giving Landlord notice of the exercise of

Tenant's election within thirty (30) days after Tenant shall receive notice of such taking.

In the event of termination by Tenant under the provisions of Section 1 of this Article

XV, this Lease and the term hereof shall cease and terminate as of the date when

possession shall be taken by the appropriate authority of that portion of the Entire

LANDLORD _________

TENANT ______________

Property that results in one of the above takings, and any unearned rent or other charges,

if any, paid in advance by Tenant shall be refunded to Tenant.

Section 3. Restoration. In the event of a taking in respect of which Tenant shall not have

the right to elect to terminate this Lease or, having such right, shall not elect to terminate

this Lease, this Lease and the term thereof shall continue in full force and effect and

Landlord , at Landlord's sole cost and expense, forthwith shall restore the remaining

portions of the Leased Premises, including any and all improvements made theretofore to

an architectural whole in substantially the same condition that the same were in prior to

such taking. A just proportion of the rent reserved herein and any other charges payable

by Tenant hereunder, according to the nature and extent of the injury to the Leased

Premises and to Tenant's business, shall be suspended or abated until the completion of

such restoration and thereafter the rent and any other charges shall be reduced in

proportion to the square footage of the Leased Premises remaining after such taking.

Section 4. The Award. All compensation awarded for any taking, whether for the whole

or a portion of the Leased Premises, shall be the sole property of the Landlord whether

such compensation shall be awarded for diminution in the value of, or loss of, the

leasehold or for diminution in the value of, or loss of, the fee in the Leased Premises, or

otherwise. The Tenant hereby assigns to Landlord all of Tenant's right and title to and

interest in any and all such compensation. However, the Landlord shall not be entitled to

and Tenant shall have the sole right to make its independent claim for and retain any

portion of any award made by the appropriating authority directly to Tenant for loss of

business, or damage to or depreciation of, and cost of removal of fixtures, personals and

improvements installed in the Leased Premises by, or at the expense of Tenant, and to

any other award made by the appropriating authority directly to Tenant.

Section 5. Release. In the event of any termination of this Lease as the result of the

provisions of this Article XV, the parties, effective as of such termination, shall be

released, each to the other, from all liability and obligations thereafter arising under this

lease.

ARTICLE XVI - DEFAULT

Section 1. LANDLORD'S Remedies. In the event that:

a. Tenant shall on three or more occasions be in default in the payment of rent or other

charges herein required to be paid by Tenant (default herein being defined as payment

received by Landlord ten or more days subsequent to the due date), regardless of whether

or not such default has occurred on consecutive or non-consecutive months; or

b. Tenant has caused a lien to be filed against the Landlord's property and said lien is not

removed within thirty (30) days of recordation thereof; or

LANDLORD _________

TENANT ______________

c. Tenant shall default in the observance or performance of any of the covenants and

agreements required to be performed and observed by Tenant hereunder for a period of

thirty (30) days after notice to Tenant in writing of such default (or if such default shall

reasonably take more than thirty (30) days to cure, Tenant shall not have commenced the

same within the thirty (30) days and diligently prosecuted the same to completion); or

d. Sixty (60) days have elapsed after the commencement of any proceeding by or against

Tenant, whether by the filing of a petition or otherwise, seeking any reorganization,

arrangement, composition, readjustment, liquidation, dissolution or similar relief under

the present or future Federal Bankruptcy Act or any other present or future applicable

federal, state or other statute or law, whereby such proceeding shall not have been

dismissed (provided, however, that the non-dismissal of any such proceeding shall not be

a default hereunder so long as all of Tenant's covenants and obligations hereunder are

being performed by or on behalf of Tenant); then Landlord shall be entitled to its election

(unless Tenant shall cure such default prior to such election), to exercise concurrently or

successively, any one or more of the following rights:

i. Terminate this Lease by giving Tenant notice of termination, in which event this

Lease shall expire and terminate on the date specified in such notice of termination, with

the same force and effect as though the date so specified were the date herein originally

fixed as the termination date of the term of this Lease, and all rights of Tenant under this

Lease and in and to the Premises shall expire and terminate, and Tenant shall remain

liable for all obligations under this Lease arising up to the date of such termination, and

Tenant shall surrender the Premises to Landlord on the date specified in such notice; or

ii. Terminate this Lease as provided herein and recover from Tenant all damages

Landlord may incur by reason of Tenant's default, including, without limitation, a sum

which, at the date of such termination, represents the then value of the excess, if any, of

(a) the Minimum Rent, Percentage Rent, Taxes and all other sums which would have

been payable hereunder by Tenant for the period commencing with the day following the

date of such termination and ending with the date herein before set for the expiration of

the full term hereby granted, over (b) the aggregate reasonable rental value of the

Premises for the same period, all of which excess sum shall be deemed immediately due

and payable; or

iii. Without terminating this Lease, declare immediately due and payable all

Minimum Rent, Taxes, and other rents and amounts due and coming due under this Lease

for the entire remaining term hereof, together with all other amounts previously due, at

once; provided, however, that such payment shall not be deemed a penalty or liquidated

damages but shall merely constitute payment in advance of rent for the remainder of said

term. Upon making such payment, Tenant shall be entitled to receive from Landlord all

rents received by Landlord from other assignees, tenants, and subtenants on account of

said Premises during the term of this Lease, provided that the monies to which tenant

shall so become entitled shall in no event exceed the entire amount actually paid by

Tenant to Landlord pursuant to the preceding sentence less all costs, expenses and

attorney's fees of Landlord incurred in connection with the re-leasing of the Premises; or