The rental agreement between the lessor and the tenant determines what is included in the “premises” and the type of delivery state of the premises. Tenants and landlords often have very different expectations about what is included and the condition of the premises when handing over the keys from the landlord to the tenant. They either rent a space in an existing property occupied by another company in the past, or, in the case of new development, a space that has never been occupied and is under construction. It is extremely important for you to clarify what is included and what is not and what kind of state the premises are delivered. A full description of the landlord`s working and delivery conditions should be negotiated and become the exhibition of the lease. If you`re moving to a mall, you can get the benefit of increased foot traffic at your restaurant, but you may also want to make sure your landlord isn`t renting to a competing restaurant right next door. Adding an exclusive use clause to the lease agreement protects your business, as the owner cannot hurt your business by creating a competing location in the same establishment. Net charges or NNN/CAM refer to the part of the rental agreement in which a tenant is asked to bear either all the costs or part of the expenses related to the property in the category of additional rent. These fees include things like property maintenance, sidewalk and parking repairs, building security, and community space services when the rental space is located in a shopping mall or common building.

Property tax and insurance for the part of the property used by the tenant are also covered by these fees. NNN/CAM fees are paid monthly along with regular rent based on estimates for the entire year. A tenant`s right to allocate or sublet premises is essential, as it preserves the existing strategy and facilitates the growth of the business. To this end, tenants must first ensure that the lessor cannot unduly refuse or delay their consent to general assignments and subleases.. . . .