Louisiana Commercial Lease: Types, Key Terms To Know, Costs
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A Louisiana commercial lease is a contract between a tenant and a landlord that sets out the terms of the agreement. A commercial lease can be as short as one year or as long as 30 years, depending on the party’s needs and desires. The property owner typically receives rent payments from the tenant company on a monthly basis, while the renter receives the right to use certain areas of real estate in exchange for paying rent.
The terms of each Louisiana commercial lease will vary depending on whether it is an office lease or a retail lease. For example, an office lease may require the tenant to provide landscaping services around the building while a retail lease would not usually include this requirement.
Louisiana commercial leases typically include provisions regarding:
- Rent payment due dates
- Property taxes and insurance costs paid by either party
- Maintenance responsibilities of both parties (like painting)
- Move-out requirements if there is no longer any need for the space (e.g., if you sell your business)
Louisiana Commercial Landlord/Tenant Laws
- Landlords need to include a lead paint disclosure statement in the agreement if the building was constructed before 1978. It is important for the tenant to know if this threat exists in the commercial property they rent.
- The landlord must also mention the expenses of the utilities that will be paid by the tenant. This includes water, trash removal, sewage, phone, and internet services.
Commercial Leases: A Tenant's Perspective
- Work with an attorney when preparing a commercial lease agreement.
- Consider including a particular amount as a penalty for the early termination of a lease as negotiating favorable terms during the initial agreement is easy.
- Negotiate the permission to sublease the rental property to another party for the remaining lease term.
- Consider having a renewal provision, so that when the lease is renewed the rent increases to a percentage of the monthly lease payment amount.
Commercial Leases: A Landlord’s Perspective
- Make sure you have an attorney to review the commercial lease agreement.
- Insist on the landlord’s approval if the agreement has a sublease provision.
- Have rental increases stated for a lease renewal so that the tenant can be your stable, long-term renter. This also helps reduce extended vacancies.
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Key Terms Related to Louisiana Commercial Lease
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Lease Term
The term of the lease is the length of time you will be renting the space. It is often expressed in months or years, such as "1 year," "2 months," or "3 years."
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Security Deposit
A sum of money held by the landlord to protect against damages caused by the tenant during their tenancy and/or unpaid rent or other charges due under the lease agreement.
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An agreement between two parties in which one rents property from another party with an option to sublease some or all of that property to a third party.
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An agreement between two parties in which one rents property from another party with an option to subordinate his interest in favor of another party at some later time and upon certain conditions specified in such agreement.
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Tenant's Obligations
Landlords have many duties and responsibilities under Louisiana law, but tenants also have some responsibilities, too — usually spelled out in a written lease agreement between landlord and tenant.
Conclusion
A Louisiana commercial lease should be drafted by an experienced attorney who has experience drafting these types of contracts. Looking for experts? Compare multiple free proposals from vetted lawyers and save 60% less than traditional law firms - start your job proposal here.
Frequently Asked Questions
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Meet some of our Louisiana Commercial Lease Lawyers
Paul M.
Transactional attorney and corporate in house counsel for 15 years. Draft all types of contracts and employment agreements.
"Paul is prompt, professional, and knowledgable. I am happy with the prenuptial agreement I got and would be glad to work with him again."
Haroldo M.
A seasoned attorney dedicated to navigating complex legal issues and devising strategic solutions for my clients.
"He keeps in constant contact with me. He has been very fast and very helpful If your looking for a great lawyer, He is your lawyer! I highly recommend hiring him!"
Leonid G.
I have been practicing law since 2018. I used to be a litigator at a nationwide practice before going in-house at a fintech company. I have experience drafting NDAs, SaaS contracts, service agreements, and stock purchase agreements.
"Leonid was amazing. He understood the company ethos, our mission, and how to best update our contracts to serve both. He communicated with me on his progress and stayed within the budget I relayed to him. Will hire again for the next project."
Sean S.
Commercial and government contracts attorney with 10+ years of experience delivering business-aligned legal solutions to global companies, research institutions, and startups across tech, manufacturing, and regulated industries. Passionate about transforming legal workflows through AI and automation. Proven track record advising business teams and executives on complex commercial agreements, designing scalable contract playbooks, and aligning legal guidance with user needs. Strong communicator skilled at bridging legal and operational teams.
February 24, 2023
Candace M.
For over 20 years, as an attorney and real estate broker, Candace has used her passion for business and real estate to help her clients succeed as business owners, entrepreneurs Realtors, and real estate investors. She and her team go above and beyond to simplify and solve those issues which trouble her clients. From the simple to the complex, she is ready to help. Her experience includes, Real Estate law, Contracts, Business Formation, Business Operating AGreements and Entrepreneurial counseling.
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Keren G.
Keren E. Gesund has extensive litigation expense. She has successfully defended and prosecuted claims against debt collectors, banks, credit reporting agencies, subcontractors, manufacturers and consumers who have suffered harassment or injury. She handles contentious business and commercial cases for both plaintiffs and defendants in state and federal court.
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Laura C.
Serving the Greater New Orleans Westbank, Laura brings a unique blend of legal expertise and technical regulatory experience to individuals and small businesses navigating complex legal challenges. With a Juris Doctorate from Loyola College of Law’s Civil Law Night Program (2017) and a Bachelor of Science in Civil Engineering from the University of New Orleans (2011), Laura offers grounded, strategic legal support rooted in real-world problem-solving. Prior to practicing law, Laura spent over a decade at the U.S. Department of the Interior, focusing on environmental and safety regulatory enforcement for offshore oil and gas operations. There, she led compliance reviews, developed policy, mediated between federal experts and industry representatives, and presented at major professional conferences on exploration, development, and environmental planning. This experience has instilled a deep understanding of complex regulatory frameworks and strong negotiation skills—assets to any client. Laura also served as Vice President of her union local, where she advocated for federal employees in disciplinary matters, negotiated workplace policy changes, and secured ADA accommodations—experience that informs her empathetic, client-centered approach to employment and family law.
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Real Estate
Commercial Lease
Florida
What's the parking situation in a commercial lease?
I am currently in the process of signing a commercial lease for a retail store and I need to know the parking situation that is included in the lease. I have read through the lease and I'm not sure if the parking is included or if I have to arrange it myself. I need to know if I will be able to provide adequate parking for my customers and employees.
Diane D.
The only way to answer this question is to have an attorney read the lease.
Litigation
Commercial Lease
Texas
What's the survival clause in a commercial lease?
I am looking to enter into a commercial lease for my new business. I am unfamiliar with the terms of a commercial lease, and am particularly interested in understanding the survival clause. This clause is important to me because I want to make sure I am fully aware of my rights and responsibilities as a tenant. I need to know what is expected of me should the lease be terminated prematurely.
Curt L.
A survival clause is fairly standard in a lease. It extends the effectiveness of certain provisions, such as party representations, warranties, promises, and covenants beyond the expiration or termination of the lease, but not beyond the legally prescribed statute of limitations. For example, If you make a fraudulent representation in a 1-year lease, the other party to the lease who is damaged by your fraud could still sue you for that fraud even after the end of the 1-year lease.
Commercial Real Estate
Commercial Lease
North Carolina
How is the rent determined in a commercial lease agreement?
I am a small business owner looking to rent a space for my business. I am currently in negotiations with the landlord of a commercial property and we are discussing the terms of the lease agreement. We have reached a point where we need to discuss the rent and how it will be determined. I need to understand more about how rent is determined in commercial leases so that I can negotiate a fair and reasonable agreement.
N'kia N.
In North Carolina, commercial rent is commonly calculated as a set dollar amount per square foot. This dollar amount is usually based on factors like location, age, condition, accessibility, and amenities. However, there is no requirement for rent to be determined this way. Unlike a residential lease agreement, the terms of a commercial lease agreement can be almost anything that the parties mutually agree to. As a word of caution, in North Carolina, commercial tenants do not have the same degree of legal protections as residential tenants. For just one example, a tenant who wishes to terminate a commercial lease early may be responsible for the entire remainder of the rent unless the lease agreement says otherwise.
Landlord
Commercial Lease
Ohio
Can the rent be increased during the lease term?
I am an entrepreneur who is looking to rent a commercial space for my business. I recently found a space that fits my needs and the landlord is offering a lease agreement. I am wondering if the rent can be increased during the lease term, as this could have a significant impact on my business. I understand that the lease agreement may contain provisions that allow for rent increases, but I would like to confirm this before signing the agreement.
Jeffrey K.
The lease agreement should specifically provide when and in what amount any rent increases would occur. Usually on a lease with a five year term, rent would increase yearly. If you have a build out credit, you may have free rent for a term if you pay for the build out. If it is a net lease, meaning you pay rent and, either taxes, insurance and/or common area maintenance, you would have a base rent plus the other fees that could increase during the initial lease term usually yearly, but it could be more than one time a year if the costs of these items increase. The rent would also likely increase yearly. If the lease is a gross lease, you will have one monthly rental payment that would increase (most likely) yearly.
Commercial Real Estate
Commercial Lease
Massachusetts
Can the tenant assign the lease to another business?
I am a business owner who recently signed a commercial lease for a retail space. I was recently approached by another business who is interested in taking over my lease, and I am wondering if I am able to assign the lease to them. I am looking to understand the legal implications of assigning the lease, as well as any other requirements or restrictions I should be aware of.
Joseph M.
In Massachusetts, a commercial tenant can assign or sublet the unit to a third party - UNLESS there is a specific prohibition in the current lease. However, even if there is such a prohibition, it might still be worth speaking to the landlord about since it might be mutually beneficial.
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