How does a commercial lease differ from a residential lease: Massachusetts commercial tenant
Lease agreements are governed under Massachusetts General Law Chapter 186; the statute is very clear about the rights and obligations of the tenant and landlord with reference to residential property. However, the law does not draw such a bright line rule when it comes to commercial property. As a commercial tenant, you do not have many rights other than those written into your lease. There are two takeaways from this:
1. if you are having an issue with the landlord, look to the provisions in your lease for answers.
2. before entering into a commercial lease, advocate your rights, what your expectations are, and write them into the lease. The landlord will be looking out for his interest. You should be doing the same. It is always a good idea to have an attorney review the lease prior to signing.
Some provisions you want to be sure are included in a commercial lease are: rent provision and term provision, rental adjustment provision, renewal of lease provision, assigning/subleasing provision, and maintenance and repair provision.
Often times the tenant is responsible for repairs. Again, if there is damage, look to the lease to see who is responsible.
Another thing to consider is renovations made and paid for by the tenant to make the space accommodating for the proposed business. This is common with restaurants and beauty service shops. If you, the tenant, spend a considerable amount of money on renovations, that will 1) enhance the value of the property, and 2) will become a permanent fixer of the property (something you will not take with you when you leave), it is smart to negotiate a reimbursement through lower rent payments or security deposit in an effort to recoup some of that investment.
Clink the links below to learn more:
http://clinics.law.harvard.edu/tlc/files/2015/05/Commercial-Leases-101-Legal-Toolkit.pdf
https://malegislature.gov/Laws/GeneralLaws/PartII/TitleI/Chapter186
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