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Simple Commercial Rental Agreement
"I need a Simple Commercial Rental Agreement for a retail space in Riyadh's business district, starting from March 2025, with specific provisions for a fashion boutique including signage rights and fit-out period."
1. Parties: Identification of the Lessor and Lessee with full legal names, commercial registration numbers, and authorized representatives
2. Background: Context of the agreement including property details and intended commercial use
3. Definitions: Key terms used throughout the agreement including Property, Commencement Date, Term, Rent, etc.
4. Demise: Formal granting of the lease and specification of the leased premises
5. Term and Renewal: Duration of lease, commencement date, and renewal terms
6. Rent and Payment Terms: Rent amount, payment schedule, method of payment, and VAT provisions
7. Security Deposit: Amount, payment terms, and conditions for return of security deposit
8. Permitted Use: Specified commercial activities allowed in the premises
9. Maintenance and Repairs: Responsibilities of each party for maintenance, repairs, and improvements
10. Utilities and Services: Provisions for electricity, water, telecommunications, and other services
11. Insurance: Required insurance coverage for both parties
12. Compliance with Laws: Obligation to comply with Saudi regulations, including commercial, building, and safety codes
13. Assignment and Subletting: Restrictions and conditions for transferring or subletting the premises
14. Termination: Grounds and procedures for early termination
15. Governing Law and Jurisdiction: Application of Saudi law and jurisdiction of Saudi courts
1. Fit-out Works: Terms for initial tenant improvements and modifications - include when premises require renovation
2. Break Clause: Early termination options - include for longer-term leases
3. Force Majeure: Provisions for unforeseen circumstances - particularly relevant post-COVID
4. Property Management: Building management rules - include for multi-tenant buildings
5. Environmental Compliance: Environmental obligations - include for industrial or specialized commercial uses
6. Prayer Room: Specifications for mandatory prayer facilities - include for larger commercial spaces
7. Signage Rights: Terms for external and internal signage - include for retail premises
8. Parking: Allocation and management of parking spaces - include when parking is limited or shared
1. Schedule 1 - Property Details: Detailed description of premises including floor plans and boundaries
2. Schedule 2 - Rent Payment Schedule: Detailed breakdown of rent payments and escalation
3. Schedule 3 - Service Charges: Breakdown of service charges and calculation method
4. Schedule 4 - Building Rules: Specific rules and regulations for the building or complex
5. Schedule 5 - Handover Condition: Description and photos of premises condition at handover
6. Schedule 6 - Permitted Alterations: Pre-approved alterations and modification guidelines
7. Appendix A - Required Licenses: List of mandatory licenses and permits for operation
8. Appendix B - Insurance Requirements: Detailed insurance requirements and minimum coverage
Authors
Retail
Office Space
Food and Beverage
Healthcare
Professional Services
Technology
Education
Manufacturing
Logistics
Entertainment
Fashion and Apparel
Banking and Finance
Hospitality
Automotive
Legal
Real Estate
Facilities Management
Operations
Finance
Compliance
Risk Management
Business Development
Property Management
Asset Management
Procurement
Administration
Real Estate Manager
Property Manager
Legal Counsel
Commercial Director
Facilities Manager
Business Development Manager
Operations Director
Chief Financial Officer
Compliance Officer
Real Estate Investment Manager
Leasing Manager
Asset Manager
Contract Administrator
Risk Manager
Branch Manager
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