Table of Contents
This Standard Industrial/Commercial Single-Tenant Lease – Net Form is intended for a business entity renting space in a commercial building in California. It is meant to be used for a single unit and not for a multi-unit building. The tenant agrees to pay rent and any association fees as well as a returned-check fee of $25, late fees, or attorney’s fees that result from a late payment or returned check.
The tenant agrees to pay a security deposit. Under California Civil Code 1950.7, a landlord is entitled a security deposit against damage or default. The landlord will return the security deposit, less any charges for damages or unpaid rent, within 30 days of the lease termination. The tenant agrees to pay real property taxes, personal property taxes, and utilities.
Repairs and Maintenance
- Landlord Responsibilities
The landlord agrees to rent a property of the specified square footage and that it will be clean and functional and that the structure is sound and that the electricity, plumbing, and HVAC are working. The landlord agrees to repair the HVAC during the first six months or any other system during the first 30 days; otherwise, the tenant agrees to make any necessary repairs.
The landlord agrees that the structure meets all necessary codes and regulations, and the tenant agrees that he or she is responsible for complying with zoning requirements for his or her business. The tenant agrees to make capital expenditures that are necessary for his or her business and the landlord agrees to make capital expenditures that are necessary for the property in general.
- Tenant Responsibilities
The tenant agrees to maintain the interior and exterior of the property and to maintain service contracts covering HVAC, fire safety systems, landscaping, and utilities. The landlord may inspect the property to ensure compliance. The tenant agrees not to make alterations to the structure or the utilities.
Use of Premises , Health and Safety and Insurance
The tenant agrees to provide the landlord with proof of insurance. The tenant agrees to use the property only for its intended use and not to create a nuisance. The tenant agrees to notify the landlord if any hazardous substances will be used and to comply with all regulations. The landlord agrees to be responsible for any hazardous substances already present at the property. Hazardous substances are defined in California Health and Safety Code, Sections 108100-108225. The landlord may inspect the property when necessary to ensure compliance.
Both the tenant and the landlord agree to carry adequate liability insurance and the tenant agrees to carry property and rental value insurance. The landlord agrees to repair damage to the property or terminate the lease, unless the damage was caused by the tenant.
Subletting the Property
The tenant agrees not to sublet the property without the landlord’s consent.
Late Rent Fees and Breaches of Contract
The tenant agrees to pay a late fee of 10% or $100 if rent is five days late, and interest if rent or fees are more than 30 days late. Under California Civil Code 1671, when there is a breach of contract, the injured party is permitted to seek liquidated damages. In this lease, liquidated damages will be the late fee. If rent is paid late three times in a row, the tenant will have to pay quarterly in advance instead of monthly.
The landlord agrees to pay any additional brokerage fees. This lease will be binding if the property is sold. Both the landlord and the tenant agree to provide certificates of estoppel if requested. The tenant agrees to provide financial statements if the landlord chooses to sell the property.
Termination of the Lease
The landlord may terminate the lease or charge damages if the tenant abandons the property, fails to pay rent or fees, declares bankruptcy, or breaches the agreement in any other way. The landlord may pursue damages up to the amount of unpaid rent under California Civil Code, section 1951.2, or additional damages including attorney’s fees. If the property is condemned or taken by eminent domain, the lease may be terminated.
Both the landlord and the tenant agree that notices can be served in person, by mail, or by fax. If legal action becomes necessary, the prevailing party will pay attorneys’ fees.
Other Terms of this Lease / Contract
The landlord may enter the property in an emergency or to make repairs. The landlord may display For Sale or For Lease signs. The tenant may not display signs or hold an auction on the property. The tenant agrees to provide accommodations under the Americans with Disabilities Act.
If the landlord requires a guarantor, the guarantor will have the same obligations to pay as the tenant and must provide financial statements on request.
How To Fill
This form may be partially filled out online. If you cannot do so, you may print the form and complete it neatly with a pen.
- Enter the date.
- Enter the landlord’s name.
- Enter the tenant’s name.
- Enter the address, county, and a brief description of the property.
- Enter the lease term and the beginning and ending dates.
- Enter an early possession date, if applicable.
- Enter the base rental amount and the day it is due. Check the box if the rent can be adjusted during the lease.
- Enter the base rent, security deposit, association fees, and other fees due upon signing.
- Enter a brief description of the intended use of the property.
- Check the boxes and enter the brokers’ names and the fees due the brokers, if any.
- Enter the guarantor’s information, if any.
- Check the boxes and describe attachments, if any.
- Describe any modifications or accommodations that the tenant will make to comply with the Americans with Disabilities Act.
- Landlord enters date, printed name, title, and contact information, and signs the lease.
- Tenant(s) enters date, printed name, title, and contact information, and signs the lease.
- Add or enter any exhibits or attachments.
- If there is a guarantor, complete the Guaranty of Lease and the guarantors must sign and date the form.
- Initial all the pages.
California law does not require that a lease be witnessed, notarized, filed, or registered. It is valid upon execution. Both the landlord and the tenant should keep a copy of the lease in a safe place.
Free California Commercial Lease Agreement Single Tenant – Net - PDF Download
California Law Codes
- California Civil Codes: 1950.7, 1951.2, 1671
- California Health and Safety Code: 108100-108225