What does the term “commercial lease” refer to?

The term "commercial lease" specifically refers to a lease agreement designed for leasing property used for business purposes. This type of lease governs the terms under which a business can occupy a commercial space, which may include offices, retail locations, or industrial properties. Such leases often include specific clauses relevant to commercial activities, including rent terms, duration, maintenance responsibilities, and compliance with zoning laws. This distinguishes commercial leases from residential leases, which are structured around living arrangements for individuals or families.

Understanding this concept is crucial in real estate and property management as it shapes the legal, financial, and operational aspects of how businesses interact with leased property. Each lease type serves different needs and involves varied legal implications, making it essential to recognize the differences in these agreements.