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Long Term Land Lease Agreement Template for Philippines

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Key Requirements PROMPT example:

Long Term Land Lease Agreement

"I need a Long Term Land Lease Agreement for a 2-hectare industrial property in Manila's economic zone, where my foreign manufacturing company will be the lessee starting March 2025, with initial lease term of 25 years and option to renew for another 25 years."

Document background
The Long Term Land Lease Agreement is a crucial document for businesses and individuals seeking to secure long-term rights to use land in the Philippines without full ownership transfer. This agreement is particularly relevant given the Philippines' restrictions on foreign land ownership, making it an essential tool for foreign investors operating in the country. The document must comply with various Philippine laws, including the Civil Code, the Investor's Lease Act, and local government regulations. It's commonly used for commercial developments, industrial projects, agricultural operations, and other long-term land use arrangements. The agreement typically includes comprehensive provisions for property use, development rights, maintenance obligations, and compliance with environmental and zoning requirements, while ensuring adherence to maximum lease terms of 50 years (renewable for 25 years) under Philippine law.
Suggested Sections

1. Parties: Identification of the Lessor and Lessee, including complete legal names, addresses, and registration details

2. Background: Context of the agreement, brief description of the property, and the parties' intention to enter into a long-term lease

3. Definitions: Definitions of key terms used throughout the agreement

4. Grant of Lease: Formal grant of lease rights, specifying the property being leased and confirmation of the Lessor's authority to lease

5. Term and Renewal: Duration of the lease, commencement date, and provisions for renewal in compliance with RA 7652

6. Rent and Payment Terms: Lease payment amount, payment schedule, rent review mechanisms, and security deposit requirements

7. Permitted Use: Specified allowed uses of the property in compliance with zoning laws and regulations

8. Maintenance and Repairs: Responsibilities of each party regarding property maintenance, repairs, and improvements

9. Utilities and Outgoings: Responsibility for utility payments, taxes, and other operating expenses

10. Insurance and Risk: Required insurance coverage and allocation of risks between parties

11. Compliance with Laws: Obligations to comply with applicable Philippine laws, including environmental regulations

12. Default and Termination: Events of default, remedies, and termination procedures

13. Registration: Requirements and procedures for registering the lease with relevant authorities

14. Governing Law and Dispute Resolution: Specification of Philippine law as governing law and dispute resolution mechanisms

15. General Provisions: Standard provisions including notices, entire agreement, and amendments

Optional Sections

1. Development Rights: Include when the lease permits development or major modifications to the property

2. Agricultural Provisions: Required when the property includes agricultural land, ensuring compliance with agrarian reform laws

3. Subletting and Assignment: Include if subletting or assignment rights are to be granted to the lessee

4. Environmental Obligations: Detailed section required when property is in environmentally sensitive areas or subject to specific environmental regulations

5. Foreign Ownership Compliance: Include when lessee is a foreign entity, ensuring compliance with foreign ownership restrictions

6. Force Majeure: Optional detailed provisions for force majeure events, particularly relevant in areas prone to natural disasters

7. Right of First Refusal: Include if lessee is granted right to purchase property or extend lease on preferential terms

8. Mortgaging Rights: Include if either party has or requires rights to mortgage their interest in the property

Suggested Schedules

1. Property Description: Detailed technical description of the leased property, including boundaries, technical description, and TCT number

2. Site Plan: Plans and drawings showing the property boundaries and any relevant physical features

3. Rent Schedule: Detailed breakdown of rent payments, including escalation rates and review dates

4. Permitted Alterations: Specific alterations or improvements permitted under the lease

5. Handover Condition Report: Detailed description and photographs of property condition at lease commencement

6. Required Insurance: Detailed specifications of required insurance coverage

7. Environmental Baseline Study: If relevant, baseline environmental conditions of the property

8. Local Authority Permits: Copies of relevant zoning clearances, permits, and certificates

Authors

Alex Denne

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

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Relevant Industries

Real Estate

Agriculture

Industrial Manufacturing

Retail

Hospitality

Renewable Energy

Mining

Logistics

Commercial Development

Tourism

Education

Healthcare

Relevant Teams

Legal

Real Estate

Operations

Finance

Compliance

Property Management

Business Development

Risk Management

Corporate Affairs

Facilities Management

Relevant Roles

Chief Executive Officer

Chief Legal Officer

Real Estate Director

Property Manager

Facilities Manager

Legal Counsel

Corporate Secretary

Chief Financial Officer

Development Director

Operations Manager

Compliance Officer

Land Acquisition Manager

Project Manager

Risk Manager

Business Development Manager

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, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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