Business Lease Agreement

Business Lease Agreement Template for Denmark

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Document background

The Business Lease Agreement serves as the foundational document for commercial property leasing arrangements in Denmark, governed by the Danish Business Lease Act (Erhvervslejeloven) and related regulations. This document is essential when a property owner wishes to lease commercial space to a business tenant, whether for retail, office, industrial, or other commercial purposes. It provides comprehensive coverage of all aspects of the commercial tenancy, including financial terms, maintenance obligations, use restrictions, and termination rights. The agreement must comply with mandatory provisions of Danish law while allowing for customization based on specific commercial requirements. It's particularly important in protecting both parties' interests and ensuring clarity in their business relationship, especially given Denmark's specific requirements regarding commercial property leases.

Suggested Sections

1. Parties: Identification of the landlord and tenant, including full legal names, company registration numbers (CVR), and addresses

2. Background: Context of the lease arrangement and brief description of the property

3. Definitions: Key terms used throughout the agreement

4. Property Description: Detailed description of the leased premises, including address, size, and permitted use

5. Lease Term: Duration of the lease, commencement date, and any renewal options

6. Rent and Payment Terms: Base rent amount, payment schedule, and method of payment

7. Rent Adjustment: Provisions for periodic rent adjustments including indexation

8. Operating Costs and Utilities: Allocation of responsibility for operating costs, utilities, and other expenses

9. Use of Premises: Permitted business activities and any restrictions on use

10. Maintenance and Repairs: Responsibilities of landlord and tenant for maintenance, repairs, and replacements

11. Alterations and Improvements: Rules regarding modifications to the premises

12. Insurance and Liability: Required insurance coverage and allocation of risks

13. Assignment and Subletting: Rules regarding transfer of lease rights and subletting

14. Termination: Grounds for termination and required notice periods

15. Governing Law and Jurisdiction: Confirmation of Danish law application and jurisdiction

16. Signatures: Execution section with date and signature blocks

Optional Sections

1. Security Deposit: Terms of security deposit or bank guarantee, if required

2. Service Charge: Detailed provisions for service charge if the property is part of a larger complex

3. Green Lease Provisions: Environmental and sustainability requirements, used when parties wish to include specific environmental commitments

4. Parking: Provisions regarding parking facilities, if applicable

5. Signage Rights: Rules regarding external and internal signage, if relevant

6. Break Clause: Early termination options, if agreed

7. Force Majeure: Provisions for extraordinary circumstances affecting the lease

8. Pest Control: Specific provisions for pest control responsibilities

9. Building Management Rules: Additional rules for multi-tenant buildings

Suggested Schedules

1. Floor Plan: Detailed plans showing the leased area

2. Condition Report: Documentation of premises condition at lease commencement

3. Inventory List: List of any furniture, fixtures, or equipment included in the lease

4. Operating Costs Specification: Detailed breakdown of operating costs and allocation method

5. Maintenance Schedule: Detailed allocation of maintenance responsibilities

6. House Rules: Building regulations and conduct rules

7. Energy Performance Certificate: Mandatory energy rating documentation

8. Handover Protocol: Template for documenting the handover of premises

9. Rent Calculation Framework: Details of rent calculation method and indexation

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