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Sub Lease Tenancy Agreement for Philippines

Sub Lease Tenancy Agreement Template for Philippines

A comprehensive legal document governed by Philippine law that establishes the terms and conditions under which a tenant (acting as sub-landlord) grants temporary use and occupation rights of a property to a sub-tenant. The agreement operates within the framework of Philippine civil law, particularly the Civil Code of the Philippines and the Rent Control Act, and must align with the terms of the original head lease. It details all essential aspects including rent, duration, obligations, maintenance responsibilities, and termination conditions, while ensuring compliance with local property laws and regulations.

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What is a Sub Lease Tenancy Agreement?

The Sub Lease Tenancy Agreement is a crucial legal instrument in the Philippine property market, used when an existing tenant wishes to lease all or part of their rented property to another party. This document must comply with Philippine civil law requirements and typically follows after obtaining necessary consent from the original landlord as stipulated in the head lease. The agreement covers essential elements such as property details, rental terms, duration, permitted use, maintenance obligations, and termination conditions. It's particularly important in commercial contexts where businesses need to optimize their leased space or in residential scenarios where authorized sub-letting is permitted. The document must carefully balance the rights and obligations of all parties while ensuring alignment with the head lease terms and local property regulations.

What sections should be included in a Sub Lease Tenancy Agreement?

1. Parties: Identifies and provides full details of all parties: the tenant/sub-landlord and the sub-tenant, including their complete legal names and addresses

2. Background: Establishes context including reference to the head lease, confirmation of sub-letting rights, and purpose of the sub-lease

3. Definitions: Defines key terms used throughout the agreement including 'Premises', 'Term', 'Head Lease', 'Rent', etc.

4. Grant of Sub-Lease: Formal grant of the sub-lease and description of the premises being sub-let

5. Term and Renewal: Duration of the sub-lease, commencement date, end date, and any renewal options

6. Rent and Security Deposit: Rental amount, payment terms, security deposit details, and rent review mechanisms

7. Utilities and Other Charges: Responsibility for utilities, maintenance fees, and other charges

8. Use of Premises: Permitted use of the property and any restrictions

9. Maintenance and Repairs: Responsibilities for maintaining and repairing the premises

10. Sub-Tenant's Obligations: Comprehensive list of sub-tenant's duties and responsibilities

11. Sub-Landlord's Obligations: Comprehensive list of sub-landlord's duties and responsibilities

12. Insurance: Required insurance coverage and responsibilities

13. Default and Remedies: Events of default and available remedies for both parties

14. Termination: Grounds for termination and the process involved

15. Governing Law: Specification of Philippine law as governing law and jurisdiction

16. Notices: Process and addresses for serving formal notices

17. General Provisions: Standard boilerplate clauses including severability, entire agreement, etc.

What sections are optional to include in a Sub Lease Tenancy Agreement?

1. Fit-Out Works: Details of any permitted alterations or improvements - include for commercial properties

2. Parking: Parking rights and restrictions - include if parking is available

3. Common Areas: Rights and obligations regarding common areas - include for properties in multi-unit buildings

4. Assignment and Further Sub-Letting: Rights to assign or further sub-let - include for longer-term leases

5. Building Rules: Specific building or complex rules - include for properties in managed buildings

6. Force Majeure: Provisions for extraordinary events - particularly relevant post-COVID

7. Option to Purchase: Include if granting the sub-tenant an option to purchase

8. Pest Control: Include for residential properties or food-service establishments

9. Environmental Matters: Include for industrial or commercial properties with potential environmental impacts

What schedules should be included in a Sub Lease Tenancy Agreement?

1. Schedule 1 - Property Details: Detailed description of the premises including floor plans and measurements

2. Schedule 2 - Head Lease Details: Key terms and conditions from the head lease that affect the sub-lease

3. Schedule 3 - Rent Payment Schedule: Detailed breakdown of rent payments, including escalation rates if applicable

4. Schedule 4 - Inventory: List of furniture, fixtures, and equipment included in the sub-lease

5. Schedule 5 - Condition Report: Detailed report on the condition of the premises at commencement

6. Schedule 6 - House Rules: Building rules and regulations if applicable

7. Appendix A - Copy of Head Lease: Copy of the relevant portions of the head lease

8. Appendix B - Required Permits: Copies of relevant permits and certificates

9. Appendix C - Insurance Requirements: Detailed insurance requirements and specifications

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

Philippines

Publisher

Ƶ

Document Type

Tenancy Agreement

Cost

Free to use
Relevant legal definitions









































Clauses








































Relevant Industries

Real Estate

Residential Property

Commercial Property

Retail

Office Space

Industrial

Hospitality

Education

Healthcare

Co-working Spaces

Relevant Teams

Legal

Real Estate

Facilities Management

Operations

Administration

Compliance

Risk Management

Property Management

Asset Management

Contract Management

Relevant Roles

Property Manager

Facilities Manager

Real Estate Manager

Legal Counsel

Contract Administrator

Operations Manager

Business Development Manager

Office Manager

Compliance Officer

Risk Manager

Tenant Relations Manager

Asset Manager

Space Planning Manager

Property Administrator

Real Estate Director

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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