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California Commercial Lease Agreement

Landlord Advice

A California Commercial Lease Agreement is a legally binding contract between the person renting commercial space and the person operating a business from that space. For a California lease agreement to be legally binding both parties must sign it and each party must have their facts straight as the type of business may involve additional governing entities.

Writing a California Commercial Lease Agreement

Our California commercial rental agreement caters for all cities within the state and ensures that all relevant details are captured as required by California retail lease law.

Any commercial lease agreement must include both the landlord’s information and the tenant information. With our California commercial lease agreement form, you can quickly add the mandatory landlord and tenant’s information. Information required for both landlord/tenant include full name, legal, physical address, city, state, and zip. If there’s more than one landlord or tenant, you can also capture their information thanks to the extra fields on the California commercial lease agreement template.

A California commercial rental agreement must also include the premises information. Premises information required include; the premises address, state, city, zip, and the premises type. Under premises information, you’ll be able to add the premises square footage and also provide additional details about the business operations expected on the premises.

The premises guidelines is a series of simple “yes” or “no” questions. For example, it’ll ask you if there’s a minimum age for the tenants- if you say “yes” it’ll expand allowing you to indicate the minimum age for a tenant.

Payment Information on California Commercial Lease Agreement

Under the payment information section, you will be able to indicate how you’d like rent to be paid and the amount the tenant should pay.

California commercial tenant law states that the landlord can increase the rent on certain conditions. The landlord can raise the rent on a month-to-month tenancy, but a 30-day notice must be issued. Additionally, the law requires a 60-day notice if the increase in rent exceeds that year’s 10% of the rent. The idea behind this law is to give the tenants the ability to adjust to the trends in rent increases but not to deter rent increases.

In general, a commercial lease agreement makes the property owner responsible for repairing utilities, roof, and exterior walls and makes the tenant responsible for anything else. If the new tenant has any responsibilities in the commercial space, you can indicate this under “tenant responsibilities” section.

A California commercial lease law gives the landlord the power to evict a tenant for lease for common reasons such as lease violations and nonpayment. As a landlord, you can indicate the number of days’ notice you’ll give the tenant on termination grounds. In most cases, the tenant will have three days to put things right after being issued with a termination notice for lease violations.

Disclosures in a California Commercial Lease Agreement

All lessors and commercial property owners in California must include certain disclosures in the commercial lease agreement. The California Civil Code section 1938 requires every commercial property owner to disclose in every commercial lease agreement whether the premise has been inspected. If an inspection report is available or not, you will be able to indicate that on the “additions/appendixes” section of our California commercial lease agreement template.

Once you’ve duly filled the commercial lease form, hit “Create My Agreement” button to get a preview of the document. You will also be able to download it on your computer in different formats for further customization.