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Commercial Tenancy Agreement Template for Malaysia

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Key Requirements PROMPT example:

Commercial Tenancy Agreement

"I need a Commercial Tenancy Agreement for a retail space in Kuala Lumpur's shopping district, starting from March 1, 2025, with a 3-year term and option to renew for 2 additional years, including specific provisions for operating hours aligned with shopping mall timing."

Document background
The Commercial Tenancy Agreement is essential for businesses seeking to lease commercial space in Malaysia. This document is used when a property owner (landlord) agrees to rent commercial premises to a business tenant, establishing their legal relationship under Malaysian law. The agreement encompasses crucial details such as rental terms, security deposits, maintenance obligations, and permitted use of the premises, while ensuring compliance with local regulations and property laws. It provides legal protection for both parties and serves as a reference point for managing the ongoing landlord-tenant relationship throughout the lease term. The document must align with Malaysian legal requirements, including the National Land Code 1965 and relevant state-specific regulations.
Suggested Sections

1. Parties: Identifies and provides full details of the landlord and tenant, including registration numbers for companies

2. Background: Brief context about the property and purpose of the lease

3. Definitions: Defines key terms used throughout the agreement

4. Demise: Specifies the property being leased and the term of the lease

5. Rent and Payment Terms: Details of rent amount, payment schedule, and method of payment

6. Security Deposit: Amount, payment terms and conditions for return of the security deposit

7. Utility Charges: Responsibility for utilities and service charges

8. Use of Premises: Permitted use of the property and any restrictions

9. Maintenance and Repairs: Responsibilities of landlord and tenant for maintenance and repairs

10. Insurance: Required insurance coverage for both parties

11. Assignment and Subletting: Conditions under which the tenant may assign or sublet the premises

12. Landlord's Covenants: Obligations and promises of the landlord

13. Tenant's Covenants: Obligations and promises of the tenant

14. Default and Remedies: Consequences of breach and available remedies

15. Termination: Conditions and procedures for termination of the lease

16. Notices: How formal notices should be given between parties

17. Governing Law: Specifies Malaysian law as governing law and jurisdiction

Optional Sections

1. Option to Renew: Terms for lease renewal - include when agreed with landlord

2. Renovation and Alterations: Include when tenant is permitted to make specific modifications

3. Break Clause: Early termination options - include when specifically negotiated

4. Force Majeure: Include for protection against unforeseen circumstances

5. Guarantee: Include when a corporate guarantee or personal guarantee is required

6. Right of First Refusal: Include when tenant has priority rights to purchase or lease additional space

7. Exclusivity Clause: Include when tenant has exclusive rights to conduct certain business types in the building

8. Green Lease Provisions: Include for properties with specific environmental requirements

9. Service Charge Provisions: Include for properties in managed buildings with service charges

Suggested Schedules

1. Schedule 1 - Property Description: Detailed description of the premises including floor plans and measurements

2. Schedule 2 - Rent and Payment Schedule: Detailed breakdown of rent, escalation rates, and payment dates

3. Schedule 3 - Condition Report: Detailed description of property condition at commencement of lease

4. Schedule 4 - Building Rules and Regulations: Specific rules applicable to the building or complex

5. Schedule 5 - Fitting Out Guidelines: Technical specifications for any permitted renovations or modifications

6. Schedule 6 - Service Charges: Breakdown of service charges and building maintenance fees

7. Schedule 7 - Handover Inventory: List of any fixtures, fittings or furniture included in the lease

8. Schedule 8 - Special Conditions: Any additional terms specific to this tenancy

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions





































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Relevant Industries

Retail

Office Space

Industrial

Hospitality

Healthcare

Education

Technology

Financial Services

Professional Services

Manufacturing

Logistics

Food & Beverage

Relevant Teams

Legal

Real Estate

Facilities Management

Finance

Operations

Compliance

Risk Management

Administration

Property Management

Corporate Services

Relevant Roles

Property Manager

Facilities Manager

Legal Counsel

Real Estate Director

Chief Financial Officer

Operations Manager

Business Development Manager

Compliance Officer

Risk Manager

Store Manager

Branch Manager

General Manager

Contract Administrator

Company Secretary

Asset Manager

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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