The drafting of retail lease agreements is subject to the rules governing all commercial lease agreements. These are generally freely negotiable between the parties to the lease. We therefore recommend consulting a specialist lawyer when leasing or purchasing a new retail property.
When renting retail properties, a distinction is generally made between lease agreements and rental agreements for commercially used premises. Important points in rental agreements for a retail concept are:
- Intended use
- Restrictions on product range
- Competition protection clause
- Operator obligation
- Outdoor advertising
- Regulation of opening hours
- Rent adjustment
Commercial leases should therefore be checked particularly thoroughly for any potential pitfalls. The intended use of the property must usually be specified in the lease.
Advantages
- Flexibility in the event of growth or structural changes
- no initial investment required
- Freedom in contract design
- individual scope for customization
- Planning security with long-term rental agreements with option rights
Disadvantages
- Rent payments that are not invested in your own property
- less freedom in the layout and design of the floor plan
- dependent on the current situation of the rental market
