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Facility Rental Agreement for Indonesia

Facility Rental Agreement Template for Indonesia

A comprehensive legal agreement governed by Indonesian law that establishes the terms and conditions for the rental of a facility between the owner/landlord and the tenant. The document incorporates requirements from the Indonesian Civil Code (KUH Perdata) and relevant property regulations, detailing rental terms, payment provisions, maintenance responsibilities, and operational conditions. It includes specific provisions for facility usage, security deposits, utilities, insurance requirements, and dispute resolution mechanisms in accordance with Indonesian legal requirements and business practices.

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What is a Facility Rental Agreement?

The Facility Rental Agreement serves as a legally binding document under Indonesian law that governs the temporary use of a facility by a tenant in exchange for rental payments. This agreement is essential for businesses, organizations, or individuals seeking to rent commercial, industrial, or specialized facilities in Indonesia. The document complies with the Indonesian Civil Code and relevant property regulations, incorporating necessary provisions for facility usage, maintenance, security, and operational requirements. It is commonly used for various purposes including office spaces, warehouses, retail locations, or specialized facilities, providing comprehensive coverage of rights, obligations, and liabilities of both parties. The agreement includes detailed terms regarding rental payments, security deposits, maintenance responsibilities, insurance requirements, and dispute resolution mechanisms, all structured to align with Indonesian legal requirements and business practices.

What sections should be included in a Facility Rental Agreement?

1. Parties: Identification of the facility owner/landlord and the tenant, including their legal details and authorized representatives

2. Background: Context of the agreement, brief description of the facility, and general purpose of the rental

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

4. Facility Description: Detailed description of the rental facility, including address, size, and included amenities

5. Term and Renewal: Duration of the rental period, commencement date, and renewal provisions

6. Rental Fee and Payment Terms: Rental amount, payment schedule, security deposit, and payment methods

7. Use of Facility: Permitted uses, restrictions, and operating hours

8. Maintenance and Repairs: Responsibilities for maintenance, repairs, and upkeep of the facility

9. Utilities and Services: Provisions regarding utility services, costs, and responsibilities

10. Insurance and Liability: Insurance requirements and allocation of risks

11. Default and Termination: Events of default, remedies, and termination procedures

12. Governing Law and Dispute Resolution: Applicable law and methods for resolving disputes

13. Notices: Communication procedures and contact details for official notices

14. General Provisions: Standard boilerplate clauses including force majeure, entire agreement, and amendments

What sections are optional to include in a Facility Rental Agreement?

1. Fit-out Works: Include when tenant is permitted to make modifications or installations to the facility

2. Subletting and Assignment: Include when subletting or assignment rights need to be addressed

3. Environmental Compliance: Include for facilities where environmental regulations are significant

4. Security and Access: Include when specific security arrangements or access protocols are needed

5. Parking: Include when parking facilities are part of the rental

6. Common Areas: Include when the facility is part of a larger complex with shared spaces

7. Marketing and Signage: Include when tenant requires rights to display signs or conduct marketing

8. Staff and Management: Include when facility includes management services or staff

What schedules should be included in a Facility Rental Agreement?

1. Floor Plan: Detailed plan showing the rented facility layout and dimensions

2. Inventory List: List of furniture, equipment, and fixtures included in the rental

3. Service Charges: Breakdown of additional service charges and maintenance fees

4. House Rules: Facility rules and regulations

5. Condition Report: Initial condition assessment of the facility

6. Operating Hours Schedule: Detailed schedule of permitted operating hours

7. Maintenance Schedule: Schedule of regular maintenance and inspections

8. Insurance Requirements: Detailed insurance specifications and minimum coverage requirements

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

Indonesia

Publisher

Ƶ

Document Type

Rental Agreement

Cost

Free to use
Relevant legal definitions








































Clauses



































Relevant Industries

Real Estate

Retail

Manufacturing

Hospitality

Education

Healthcare

Warehousing and Logistics

Professional Services

Entertainment and Events

Technology

Food and Beverage

Relevant Teams

Legal

Operations

Facilities Management

Finance

Procurement

Risk and Compliance

Real Estate

Administration

Property Management

Business Development

Relevant Roles

Facility Manager

Property Manager

Real Estate Director

Operations Manager

Legal Counsel

Chief Financial Officer

Business Development Manager

Procurement Manager

Asset Manager

Compliance Officer

Contract Administrator

Risk Manager

Regional Manager

Site Manager

General 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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