A commercial tenancy agreement is a legally binding document that defines the terms and conditions of a rental agreement between a landlord and a commercial tenant. In Singapore, the commercial tenancy agreement is governed by the Landlord and Tenant (Commercial Properties) Act, which outlines the rights and obligations of both parties.
A sample commercial tenancy agreement in Singapore typically includes the following sections:
This section identifies the rental property and includes details such as the address, unit number, and floor area. It also specifies the permitted use of the premises, outlining the types of business activities that are allowed on the property.
This section outlines the length of the tenancy agreement, stating the start and end dates. It may also include provisions for the renewal or extension of the lease.
This section details the amount of rent to be paid by the tenant, as well as how and when it should be paid. It may also include provisions for rent increases during the term of the lease.
4. Security Deposit
This section outlines the amount of the security deposit required, and how it will be handled during and after the tenancy agreement. It may also include provisions for the return of the security deposit at the end of the lease.
5. Maintenance and Repairs
This section outlines the responsibilities of both the landlord and tenant when it comes to maintaining and repairing the rental property. It may also include provisions for maintenance and repair costs, and how they will be allocated between the parties.
6. Utilities and Services
This section outlines which utilities and services are included in the rent, such as water, electricity, and internet. It may also include provisions for additional utility or service charges if they exceed a certain threshold.
7. Use of Premises
This section outlines the restrictions on the use of the rental property, such as noise levels, types of businesses allowed, and zoning regulations. It may also include provisions for alterations or improvements to the property.
This section outlines the circumstances under which the tenancy agreement can be terminated, including default, breach, or termination by either party. It may also include provisions for notice periods and penalties.
In conclusion, a commercial tenancy agreement is an important document that protects the rights of both landlords and commercial tenants in Singapore. By using a sample agreement as a guide, landlords and tenants can ensure that their rental agreement is comprehensive and legally binding. It is always recommended to seek legal advice before entering into any tenancy agreement.