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Commercial Lease Agreement, page 1 COMMERCIAL LEASE AGREEMENT THIS AGREEMENT made, entered into and executed this the ____ day of _________, 20__, by and between ______________________________ (hereinafter "Lessor"), and ______________________________ (hereinafter "Lessee"). Lessor and Lessee contract and agree as follows: 1. Lessor hereby leases unto Lessee the following land and any improvements thereon (hereinafter "the leased property"): [address] __________________________________________________________________ [improvements] _________________________________________________________________________ ______________________________________________________________________________________ ______________________________________________________________________________________ 2. The term of this lease shall be for a primary term of ______ years, commencing on __________________, 20___, and expiring at midnight on __________________, _______, unless extended as provided for herein. This lease can be extended at the end of the primary term for an additional term of _____ years by Lessee giving Lessor notice of his intent to extend the lease thirty (30) days prior to the expiration of the primary term. 3. During the primary term, Lessee shall pay to Lessor, as rental, the sum of ___________________________ Dollars ($_____________) per year, in advance, on or before __________________ of each year. During any extended term, Lessee shall pay to Lessor, as rental, the sum of _______________________________ Dollars ($______________) per year, in advance, on or before __________________ of each year. 4. The leased property may be used for the following purposes and for no other purposes: _____________________________________________________________________________________. 5. (A) Indemnity: Lessor and Lessee shall indemnify and save harmless the other from any and all losses, fines, suits, damages, expenses, claims, demands and actions of any kind resulting from their negligence, breach, or violation or non-performance of any condition hereof. (B) Insurance: Lessee shall, during the entire term of the Lease keep in full force and effect a policy of public liability insurance with respect to the Property and the business operated by Lessee in the Property and which the limits of general liability shall be in the amount of _______________________________ ($_____________) combined single limit, naming Lessor as additional insured. Such coverage shall include a broad form general liability endorsement. The policy shall contain a clause that the Lessee will not cancel or change the insurance without first giving the Lessor ten (10) days prior written notice. Les
See shall also file with the lessor, each month, an itemized statement of any changes therein and of any liability for any claim arising during the term of the insurance and such insurance shall be in full force and effect during any period for which the lessor has paid into the policy any amount to cover such claims. (c) management and maintenance: lessor shall hold the leasehold interest in the leased property for lessee and lessee shall be responsible for the daily management, maintenance, control and supervision thereof. The property shall be managed at all times by lease agent and all costs of such management, maintenance, control and supervision shall be borne by lessee. (d) security interests: lessor shall maintain for lessee and lessee shall maintain for lessor such security interests in the lessee premises as lessee shall deem advisable. For good and valuable consideration, including the usual rental and if required a security deposit of, the lesser of (1) seven days' actual gross rental before occupancy, or (2) two times the actual annual rental value of the real property for a period of ninety (90) days preceding the date of such security agreement and at the expiration of such term, lessee agrees to and agrees underwrites all such security investments in the leased property. The lessor shall also be entitled to deduct and retain from the payment of the monthly rental, the actual cost of the security interests or the fair market value of the security interests. 6. When more than one party is making offers to purchase, or offering to finance a lessee's construction financing or other financing, or financing the construction of a new construction in which the lessee is not the principal construction party, or offering to finance the building, the greatest of the amounts of cash and the greater of (a) seven times the total amount under this section, up to the maximum amount not exceeding (b) fifty-one million dollars (51,200,000) shall be made payable in monthly installments, if such an offer is received by the lessor of the property, by the lessor of the building, by the lessee, by the lessor of the land or by the lessor of the leased improvements. When there is a dispute between the parties or during a foreclosure, the lender may make any of the payments permitted by this section if the lender elects to do so. 7. Lessee is solely liable for costs and expenses incurred in the construction of the leased property, and it is presumed that any such costs will have been incurred.
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