Updated on March 30th, 2023
A commercial lease addendum is a document that adds to the terms of an existing commercial lease. It’s generally used when the landlord and tenant want to introduce new rental conditions without terminating the original agreement. The addendum allows the parties to clarify payment obligations, extend the lease duration, increase the rentable space, or expand upon other conditions recorded in the initial contract. It can also resolve issues not addressed in the original lease (e.g., insurance obligations, designated parking zones).
COMMERCIAL LEASE ADDENDUM
1. THE PARTIES. This Lease Addendum (“Addendum”), made effective as of [MM/DD/YYYY], is by and between:
Landlord: [LANDLORD NAME] (“Landlord”) and
Tenant: [TENANT NAME] (“Tenant”).
The Landlord and Tenant are each referred to herein as a “Party” and, collectively, as the “Parties.”
2. ORIGINAL LEASE. This Addendum is being added to the lease agreement between the Parties, dated [MM/DD/YYYY], for the property located at [RENTAL PROPERTY ADDRESS] (“Original Lease”).
3. ADDITIONAL TERMS. The following terms and conditions shall be added to the Original Lease: [PROVIDE ADDITIONAL TERMS].
Except as specifically mentioned in this Addendum, all other terms and conditions of the Original Lease shall remain in full force and effect.
4. EXECUTION. This Addendum may be executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.
Landlord Signature: ___________________ Date: [MM/DD/YYYY]
Print Name: [LANDLORD NAME]
Tenant Signature: ___________________ Date: [MM/DD/YYYY]
Print Name: [TENANT NAME]
It’s common for landlords to modify commercial property when a tenant’s business outgrows the available space. Sometimes, a commercial unit might be too large, and the tenant would like to cut costs by downsizing to a smaller area. When this happens, a commercial lease addendum can be employed to expand or reduce the total amount of property available for the tenant’s use.
A lease addendum can also document the landlord’s restorations or improvements to a commercial property. Some common alterations include:
- Lobby repairs
- New lighting and decor
- Adding cubicles and offices
- Installing/upgrading signage
- Building ramps and accessibility options for the disabled