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Lease And Licence Agreement for Hong Kong

Lease And Licence Agreement Template for Hong Kong

A comprehensive legal document governed by Hong Kong law that combines both lease and licence provisions, establishing the terms and conditions for the occupation and use of property. This agreement sets out the rights and obligations of both the landlord and tenant, including rent payments, maintenance responsibilities, permitted use, and other key terms, while incorporating specific requirements under Hong Kong property law. The document addresses both the exclusive possession aspects of a lease and any additional licensed rights, making it particularly suitable for commercial and complex residential arrangements in Hong Kong's unique property market.

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What is a Lease And Licence Agreement?

The Lease And Licence Agreement is a fundamental document in Hong Kong's property market, used when parties wish to establish both leasehold interests and licensed rights in relation to property occupation. This document is particularly relevant in Hong Kong's dense urban environment where shared facilities and complex building arrangements are common. It incorporates requirements from Hong Kong's property law framework, including the Landlord and Tenant (Consolidation) Ordinance and related legislation. The agreement is typically used for commercial premises, serviced apartments, or residential properties with shared facilities, where the occupier needs both exclusive possession of specific areas and non-exclusive rights to use certain facilities. It provides comprehensive coverage of rent, maintenance, utilities, shared services, and specific terms for Hong Kong's unique property environment.

What sections should be included in a Lease And Licence Agreement?

1. Parties: Identification and details of the landlord/licensor and tenant/licensee

2. Background: Context of the agreement and brief description of the property

3. Definitions: Definitions of key terms used throughout the agreement

4. Grant of Lease: Core terms of the lease including property description, term, and permitted use

5. Rent and Payment Terms: Rent amount, payment schedule, and payment methods

6. Deposit: Security deposit amount, terms of holding and return

7. Tenant's Covenants: Primary obligations of the tenant including maintenance, repairs, and conduct

8. Landlord's Covenants: Primary obligations of the landlord including quiet enjoyment and structural repairs

9. Insurance: Insurance requirements for both parties

10. Utilities and Services: Responsibility for utilities, services, and associated charges

11. Assignment and Subletting: Restrictions on transfer of lease rights

12. Termination: Grounds and procedure for early termination

13. Notices: Process for serving formal notices between parties

14. Governing Law: Confirmation of Hong Kong law as governing law

15. Execution: Signature blocks and execution details

What sections are optional to include in a Lease And Licence Agreement?

1. Break Clause: Optional provision allowing early termination at specific points during the lease term

2. Rent Review: Mechanism for reviewing and adjusting rent during longer lease terms

3. Option to Renew: Terms for extending the lease beyond the initial term

4. Fitting Out Works: Terms governing tenant's initial fitting out works, typically for commercial properties

5. Service Charge: For properties in managed buildings, details of service charge obligations

6. Car Parking: Terms relating to car parking rights if included in the lease

7. Air Conditioning: Specific provisions for central air conditioning services and charges

8. Property Management: Additional terms for compliance with building management regulations

9. Green Lease Provisions: Environmental and sustainability obligations

10. Force Majeure: Provisions dealing with extraordinary events affecting lease obligations

What schedules should be included in a Lease And Licence Agreement?

1. Schedule 1 - Property Description: Detailed description of the leased premises including floor plan

2. Schedule 2 - Inventory: List of fixtures, fittings, and furniture included in the lease

3. Schedule 3 - House Rules: Building rules and regulations applicable to the property

4. Schedule 4 - Rent Payment Schedule: Detailed breakdown of rent payments and due dates

5. Schedule 5 - Fitting Out Guidelines: Technical specifications and requirements for any permitted fitting out works

6. Schedule 6 - Service Charge Components: Breakdown of service charge calculations and items covered

7. Appendix A - Plans and Drawings: Floor plans, location plans, and any relevant technical drawings

8. Appendix B - Handover Condition Report: Documentation of property condition at commencement of lease

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Hong Kong

Publisher

Ƶ

Document Type

Agreement Contract

Cost

Free to use
Relevant legal definitions






































Clauses



































Relevant Industries

Real Estate

Commercial Property

Residential Property

Retail

Office Space

Industrial

Hospitality

Healthcare

Education

Banking and Financial Services

Technology

Manufacturing

Logistics

Entertainment and Leisure

Food and Beverage

Relevant Teams

Legal

Real Estate

Facilities Management

Operations

Finance

Compliance

Risk Management

Property Administration

Asset Management

Corporate Services

Relevant Roles

Property Manager

Facilities Manager

Real Estate Director

Legal Counsel

Commercial Director

Operations Manager

Chief Financial Officer

Asset Manager

Leasing Manager

Company Secretary

Risk Manager

Compliance Officer

Property Administrator

Real Estate Agent

Building Manager

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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