What is the term of a typical lease?
How is the rent quoted?
What is the tenant's option for termination or break?
Generally, no termination option, if so after 3 years with penalty.
Does the tenant have the option to renew? What is the length of the typical option?
Typically, the tenant has the right to renew, with an average length of 5-10 years.
How is the rent determined at renewal?
Typically, rents are determined by market rent at renewal and are generally negotiated 3 to 6 months in advance of lease expiration.
What is the typical rent-free period, if any?
Usually a rent-free period of 1-2 months for a 3-year lease.
What is the typical rent escalation?
Does the tenant have the right to sublet?
Typically to a related/subsidiary company. Otherwise, sublets require the landlord’s written approval.