An Arkansas commercial lease agreement is a binding contract that sets forth terms between a landlord and tenant for the leasing of a property designated for commercial use. The three (3) most common types of commercial agreements are gross lease, modified gross lease, and triple-net (NNN). A gross lease is beneficial to tenants as their only financial obligation is to pay the base rent stated in the rental agreement. With a modified gross lease, the tenant is responsible for the base rent plus some operating expenses (e.g., utilities, lawn care). Finally, a triple-net lease is favorable to landlords in that the tenant is required to pay all additional costs, including taxes and property insurance.
Lease Application – Used to investigate a lease candidate’s financial, personal, and business information to ensure their reliability as a tenant.
Laws – § 18-17-912