Are you planning to lease a commercial property but don’t know how to start the process? Writing a letter of intent for commercial lease is the first step towards securing a lease agreement. In this article, we will provide you with examples of letter of intent for commercial lease and helpful tips to guide you through the process.
A letter of intent for commercial lease is a document that outlines the terms and conditions of your lease agreement. It is a formal document that expresses your interest in leasing a particular commercial property and provides information about your business, rental requirements, and proposed lease terms.
By writing a letter of intent, you can show the landlord or property manager that you are a serious candidate, and it can help you negotiate more favorable lease terms. In addition, it can help streamline the leasing process and reduce misunderstandings later on.
Below are seven examples of letter of intent for commercial lease that you can use as a guide in your leasing process.
Restaurant Lease
Dear Landlord,
We are interested in leasing the commercial property located at 123 Main Street for our new restaurant. Our business is expected to attract a lot of foot traffic, which is why we believe that your location is ideal.
We are looking for a lease term of three years with an option to renew. We would like to propose a monthly rent of $5,000, which we believe is fair based on other comparable properties in the area.
Thank you for your consideration, and we look forward to hearing from you soon.
Sincerely,
The [Restaurant Name] Team
Retail Lease
Dear Property Manager,
We are interested in leasing the commercial space located at 456 Park Avenue for our retail business. Our business specializes in high-end fashion, and we believe that your location will attract the right clientele.
We are looking for a lease term of two years with an option to extend. We would like to propose a base rent of $7,500 per month, plus a percentage of our gross sales. We believe that this structure will align our interests and incentivize us to drive traffic to the property.
Thank you for considering our proposal, and we look forward to hearing from you soon.
Best Regards,
The [Retail Business Name] Team
Office Lease
Dear Landlord,
We are interested in leasing the commercial space located at 789 Pine Street for our law firm. Our firm specializes in intellectual property and has an excellent reputation in the legal community.
We are looking for a lease term of five years with an option to extend. We would like to propose a base rent of $8,000 per month, which we believe is competitive for the area. In addition, we would like to negotiate a tenant improvement allowance to customize the space to our needs.
Thank you for your consideration, and we look forward to the opportunity to lease your property.
Sincerely,
The [Law Firm Name] Team
Warehouse Lease
Dear Property Manager,
We are interested in leasing the commercial property located at 101 Industrial Boulevard for our distribution business. Our business specializes in healthcare products and requires ample storage space.
We are looking for a lease term of three years with an option to renew. We would like to propose a monthly rent of $10,000, which we believe is fair based on other comparable properties in the area. In addition, we would like to negotiate an early termination option in case of unforeseen circumstances.
Thank you for your consideration, and we look forward to hearing from you soon.
Best Regards,
The [Distribution Business Name] Team
Medical Office Lease
Dear Landlord,
We are interested in leasing the commercial space located at 222 Oak Street for our medical clinic. Our clinic specializes in family medicine and would benefit from the central location of your property.
We are looking for a lease term of five years with the option to extend. We would like to propose a base rent of $12,000 per month, which we believe is reasonable given the size and location of the property. We would also like to negotiate a parking agreement for our patients.
Thank you for considering our proposal, and we look forward to hearing from you soon.
Sincerely,
The [Medical Clinic Name] Team
Co-Working Space Lease
Dear Property Manager,
We are interested in leasing the commercial space located at 333 Market Street for our co-working space. Our co-working space specializes in providing flexible and affordable workspace for freelancers, entrepreneurs, and small businesses.
We are looking for a lease term of three years with the option to extend. We would like to propose a monthly rent of $15,000, which we believe is competitive for the area. In addition, we would like to negotiate a revenue-sharing agreement for any event space usage.
Thank you for your consideration, and we look forward to the opportunity to lease your property.
Best Regards,
The [Co-Working Space Name] Team
Tips for Writing a Letter of Intent for Commercial Lease
Before you start writing your letter of intent, here are some tips to keep in mind:
- Research the property and the market to have a sense of the fair market value.
- Be clear about your rental requirements, such as the lease term, rent amount, and security deposit.
- Provide information about your business, such as your industry, size, and history.
- Be professional and courteous in your tone and language.
- Proofread your letter for grammatical errors and typos before submitting it.
Frequently Asked Questions
Q: How do I know if a commercial lease is right for my business?
A: Before signing a commercial lease, it’s important to assess your business needs and evaluate the pros and cons of leasing versus buying. Consider the location, rental cost, lease term, and restrictions, and consult with a lawyer or real estate agent if needed.
Q: What should I include in my letter of intent for commercial lease?
A: Your letter of intent should include your intention to lease the property, proposed lease terms, rental requirements, and information about your business. You can also mention any additional requests or negotiations you would like to make.
Q: Can I negotiate the lease terms after submitting a letter of intent?
A: Yes, the letter of intent is not legally binding, and it’s common for both parties to negotiate the lease terms after the letter is submitted. However, it’s important to clarify any ambiguous or unclear terms in the letter to avoid misunderstandings later on.
Q: What happens after I submit a letter of intent for commercial lease?
A: After receiving your letter of intent, the landlord or property manager will review it and decide whether to proceed with the lease negotiations. If they agree to your proposed terms, they will draft a lease agreement for you to sign.
Q: Can I use a letter of intent for subleasing a commercial property?
A: Yes, you can use a letter of intent for subleasing a commercial property. However, make sure to review the original lease agreement and obtain the landlord’s approval before subleasing the property.
Q: Can I customize the letter of intent for different properties?
A: Yes, you should customize the letter of intent for each property to reflect your specific rental requirements and proposed lease terms. However, make sure to keep the tone and language professional and courteous.
Q: Do I need a lawyer to review my letter of intent for commercial lease?
A: While it’s not mandatory, it’s recommended to have a lawyer review your letter of intent to ensure that it aligns with your legal rights and interests as a tenant. A lawyer can also help you negotiate more favorable lease terms and avoid potential legal disputes.
Conclusion
Writing a letter of intent for commercial lease can be a challenging task, but it’s an essential step towards securing a lease agreement that meets your business needs. By following the tips and examples provided in this article, you can increase your chances of success and negotiate more favorable lease terms.