- Length:20 pages (5500 words)
- Available in:Microsoft Word DOCXApple PagesRTF
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About this workshop lease
This comprehensive lease is for letting a stand-alone workshop, factory, warehouse or light industrial unit which does not share services with any other unit. The building could be used for anything: from a car repair garage to a machining workshop to an aircraft hangar.
This is a professionally drawn, very comprehensive lease with massive legal protection for the landlord including a long menu of “do’s” and “don’ts”.
This lease is not a compromise between the interests of the parties. It prefers the landlord’s interest. We think that is the best start point. If you wish to make concessions to your tenant, that is fine, but we want you have those choices.
It includes service charge provisions to provide 100% recovery of service costs.
Similar lease agreements
There is no provision for service charge recovery in this document. If you need this, perhaps because the unit shares services with others or is part of an industrial estate, see Business lease: industrial unit on business park.
If the property will be used as offices, Self contained office lease agreement may be more appropriate.
If the property is mainly land, with plant or buildings, Business lease: land, either vacant or with plant or buildings may be more appropriate.
Plain English is used throughout except where it is necessary to use legal terms common in this field of law.
The key features of this template can be summarised as:
- standard guarantor
- options for transfer or assignment to another party
- sub-letting forbidden
- option to include a break clause for premature termination by the tenant
- a choice of options for rent reviews
This document has been drawn so as to make it applicable to the vast majority of leasing scenarios without making it difficult to edit.
The law in this workshop lease
Commercial leases in New Zealand are governed by the Property Law Act 2007. There is no legal requirement that lease must be registered. However, the parties have the option of protecting their interests by registering the lease.
Lease template contents
This workshop lease is comprehensive, providing alternative choices for important decisions.
The contents include 25 provisions and 1 schedule covering:
- rent: period, amount, other payments, interest on overdue rent, periodic review
- condition and repair
- tenant's positive obligations
- restrictions on tenant: prohibited activities on the property
- signs and advertisements
- goods and vehicles
- assignment of the lease
- indemnities by the tenant
- security deposit
- access for landlord
- termination: default notice by landlord; provision for premature termination (a break clause)
- Schedule 1: rights reserved