Document background
The Letter of Intent to Lease is a crucial preliminary document used in Danish commercial property transactions to establish the framework for a future lease agreement. It is typically employed when parties have reached initial agreement on key commercial terms but need to formalize their intentions before proceeding with detailed lease negotiations and due diligence. The document, while generally non-binding, helps prevent misunderstandings by clearly outlining proposed terms such as rent, duration, and property use. Under Danish law, particular attention must be paid to provisions that are intended to be binding, such as exclusivity and confidentiality clauses. The document serves as a roadmap for negotiating the final lease agreement and often includes timelines for due diligence, documentation requirements, and conditions precedent that must be satisfied before proceeding to the final lease.
