Commercial lease · free guide
Commercial lease preparation
A commercial lease can lock your business into five or ten years of rent, CAM, and repair duties. Landlords and brokers do this every week. Most first-time tenants do not.
This guide is prep, not legal advice. Use it to walk in knowing what to ask, what papers to request, and which clauses quietly transfer cost to you.
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Before ClausePrep
The broker is friendly and fast. Rent looks fine. You feel behind, like everyone else already knows the game.
After ClausePrep
You can price total occupancy cost, name the traps (CAM, guarantee, HVAC), and negotiate without apologizing for asking.
Start with these five asks
- Total occupancy cost: base rent plus CAM, taxes, insurance, and utilities, not just the sticker rent.
- Three years of CAM history and whether controllable CAM is capped.
- Who replaces HVAC and roof, and who pays when code upgrades hit.
- Whether a personal guarantee is required and if it can burn off.
- How renewal rent is set so you are not hostage at option time.
Why commercial leases feel unfair
Residential leases are regulated. Commercial leases are mostly negotiated. That means the first draft is usually written for the landlord.
Your job is not to become a lawyer overnight. Your job is to show up with a sequence: market options, total cost model, LOI terms, then clause-by-clause review.
Order of operations that saves money
Do not fall in love with one space before you have alternatives. Competition is leverage.
Settle rent, free rent, TI, term, and options in a letter of intent before you drown in a 40-page form.
Only then send the draft lease to counsel with a short list of your non-negotiables.
Free sample for this situation
Sample questions and state notes free. The full checklist, scripts, leverage, timeline, and printable export unlock after you see the sample works for you.
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Questions
Do I need a broker if I already found the space?
Often yes. A tenant-rep broker still negotiates and is usually paid from the landlord side commission split. Ask how incentives work so interests are clear.
Is a personal guarantee normal?
Common for small tenants, not inevitable forever. Caps, time limits, and burn-off after clean payment history are normal negotiation points.
When should I call an attorney?
Before you sign the full lease, especially with guarantees, complex CAM, or multi-year terms. Prep first so the attorney hour is focused.
Educational content only. ClausePrep is not a law firm and does not provide legal advice. For material decisions, consult a licensed professional in your jurisdiction.