Restaurant Rental Agreement
Restaurant Rental Agreement
This Restaurant Rental Agreement ("Agreement") is made and entered into as of [Effective Date], by and between [Property Owner's Name], an individual/entity organized and existing under the laws of [State/Country], with its principal place of business located at [Property Owner's Address] (hereinafter referred to as "Owner"), and [Your Company Name], an individual/entity organized and existing under the laws of [State/Country], with its principal place of business located at [Your Company Address] (hereinafter referred to as "Tenant").
Recitals
WHEREAS, the Owner is the owner of certain real property located at [Property Address] (the "Property");
WHEREAS, the Tenant desires to lease the Property from the Owner for the purpose of operating a restaurant;
NOW, THEREFORE, in consideration of the mutual covenants and agreements contained herein, the parties hereto agree as follows:
Article I: Lease of Property
1.1 Lease Agreement
The Owner hereby leases to the Tenant, and the Tenant hereby leases from the Owner, the Property, upon the terms and conditions set forth in this Agreement.
1.2 Use of Property
The Property shall be used solely for the operation of a restaurant and related activities. The Tenant shall not use or permit the Property to be used for any other purpose without the prior written consent of the Owner.
Article II: Term
2.1 Initial Term
The initial term of this Agreement shall commence on [Start Date] and shall continue for a period of [Initial Term Duration] years, unless terminated earlier in accordance with the provisions of this Agreement.
2.2 Renewal Term
This Agreement shall automatically renew for successive one-year terms unless either party provides written notice of non-renewal to the other party at least [Notice Period] days prior to the expiration of the then-current term.
Article III: Rent
3.1 Base Rent
The Tenant shall pay to the Owner an annual base rent (the "Base Rent") of [Base Rent Amount], payable in equal monthly installments of [Monthly Rent Amount], in advance, on the first day of each month during the term of this Agreement.
3.2 Additional Rent
In addition to the Base Rent, the Tenant shall pay to the Owner, as additional rent, the following amounts:
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Percentage Rent: An amount equal to [Percentage]% of the Tenant's gross sales from the operation of the restaurant on the Property, payable quarterly within [Payment Period] days after the end of each calendar quarter.
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Operating Expenses: The Tenant's proportionate share of the Property's operating expenses, including but not limited to real estate taxes, insurance, utilities, maintenance, and repairs, payable monthly with the Base Rent.
Article IV: Security Deposit
4.1 Security Deposit Amount
Upon execution of this Agreement, the Tenant shall deposit with the Owner a security deposit in the amount of [Security Deposit Amount] (the "Security Deposit"), to be held by the Owner as security for the faithful performance by the Tenant of all terms, covenants, and conditions of this Agreement.
4.2 Return of Security Deposit
The Security Deposit shall be returned to the Tenant within [Return Period] days after the expiration or termination of this Agreement, less any amounts deducted by the Owner for repairs, cleaning, or other charges due under this Agreement.
Article V: Maintenance and Repairs
5.1 Tenant's Responsibilities
The Tenant shall, at its own expense, keep the Property and all improvements, fixtures, and equipment therein in good order, condition, and repair, and shall make all necessary repairs and replacements, except for repairs required due to the negligence or willful misconduct of the Owner.
5.2 Owner's Responsibilities
The Owner shall be responsible for the maintenance and repair of the structural elements of the Property, including the roof, exterior walls, and foundation, as well as the mechanical, electrical, and plumbing systems serving the Property.
Article VI: Alterations and Improvements
6.1 Tenant's Alterations
The Tenant shall not make any alterations, additions, or improvements to the Property without the prior written consent of the Owner. Any such alterations, additions, or improvements made by the Tenant shall be at the Tenant's expense and shall become the property of the Owner upon termination of this Agreement.
6.2 Restoration
Upon expiration or termination of this Agreement, the Tenant shall, at the Owner's option, remove any alterations, additions, or improvements made by the Tenant and restore the Property to its original condition, reasonable wear and tear excepted.
Article VII: Insurance
7.1 Tenant's Insurance
The Tenant shall maintain, at its own expense, comprehensive general liability insurance and property insurance covering the Tenant's use and occupancy of the Property. The Tenant shall name the Owner as an additional insured on the liability policy.
7.2 Owner's Insurance
The Owner shall maintain, at its own expense, property insurance covering the structural elements of the Property.
Article VIII: Indemnification
8.1 Tenant's Indemnity
The Tenant shall indemnify, defend, and hold harmless the Owner, its officers, directors, employees, and agents from and against any and all claims, damages, losses, and expenses (including reasonable attorneys' fees) arising out of or resulting from the Tenant's use and occupancy of the Property, except to the extent caused by the negligence or willful misconduct of the Owner.
8.2 Owner's Indemnity
The Owner shall indemnify, defend, and hold harmless the Tenant, its officers, directors, employees, and agents from and against any and all claims, damages, losses, and expenses (including reasonable attorneys' fees) arising out of or resulting from the Owner's ownership and maintenance of the Property, except to the extent caused by the negligence or willful misconduct of the Tenant.
Article IX: Default and Remedies
9.1 Events of Default
The following events shall constitute an event of default by the Tenant under this Agreement:
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Failure to pay any rent or other amounts due under this Agreement within [Cure Period] days after written notice from the Owner.
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Failure to perform any other term, covenant, or condition of this Agreement within [Cure Period] days after written notice from the Owner.
9.2 Remedies
Upon the occurrence of an event of default by the Tenant, the Owner shall have the right to:
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Terminate this Agreement and recover possession of the Property.
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Recover from the Tenant all rent and other amounts due under this Agreement.
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Pursue any other remedies available at law or in equity.
Article X: Assignment and Subletting
10.1 Assignment
The Tenant shall not assign this Agreement or sublet the Property, in whole or in part, without the prior written consent of the Owner, which consent shall not be unreasonably withheld.
10.2 Subletting
If the Tenant sublets the Property with the Owner's consent, the Tenant shall remain liable for the performance of all terms, covenants, and conditions of this Agreement.
Article XI: Miscellaneous
11.1 Notices
All notices and other communications required or permitted under this Agreement shall be in writing and shall be deemed to have been duly given when delivered personally or sent by certified mail, return receipt requested, or by a nationally recognized overnight courier, to the other party at its address set forth above.
11.2 Amendment
No amendment or modification of this Agreement shall be valid unless made in writing and signed by both parties.
11.3 Governing Law
This Agreement shall be governed by and construed in accordance with the laws of the State of [State/Country], without regard to its conflict of laws principles.
11.4 Entire Agreement
This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements, whether oral or written.
11.5 Severability
If any provision of this Agreement is found to be invalid or unenforceable, the remaining provisions shall continue in full force and effect.
11.6 Waiver
The waiver by either party of any breach of this Agreement shall not operate as a waiver of any subsequent breach.
11.7 Successors and Assigns
This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.
11.8 Headings
The headings in this Agreement are for convenience only and shall not affect the interpretation of this Agreement.
IN WITNESS WHEREOF, the parties hereto have executed this Restaurant Rental Agreement as of the Effective Date.
[Property Owner's Name]
[Property Owner's Address]
[Property Owner's Name]
[Your Company Name]
[Your Company Address]
[Your Name]
