Commercial Real Estate & Leases

Commercial Lease

Also called: Net Lease, Triple Net Lease, Office Lease

A contract to occupy business premises, generally with far fewer statutory protections than a residential tenancy.

Commercial leases are largely governed by the negotiated document rather than protective legislation. Key terms include the rent structure (often net rent plus proportionate operating costs), the term and renewal rights, permitted use, assignment and subletting rights, and restoration obligations at the end.

Why it matters: commercial tenants do not get residential-style protections, and a personal guarantee attached to a lease is one of the most common sources of founder liability.

Related terms

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Editorial status: Lawkin Editorial — pending independent legal review.

Commercial Lease — Canadian legal glossary | Lawkin — Lawkin