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  • Category: Lawyers

    Information needed for renting commercial space


    Having a query about renting a commercial space? Searching for details about sharing a rental place? Find advice from experts on this page.

    Could someone answer me on the following questions:
    If one rents a commercial space to open a shop, is it possible to share, i.e give half of the space on rent to someone else?

    Suppose A wants to rent a commercial space to open a shop. His requirement is 100 square feet.
    Since it is not available, he plans to take 200 square feet shop, and uses 100 square feet to open a shop. And he wants to give remaining 100 square feet on rent to someone else.
    Could someone please answer if this can be done?
    If not, what are the alternatives?
  • Answers

    6 Answers found.
  • It can be done very well. There is no legal problem. You are taking on rent and subletting a portion of it to third party.
    But when you have taken the area originally you might have written an agreement with the owner. Is that document speaks anything about subletting. If something is written about this you have to go by that clause. If nothing is written you please inform the owner and if possible put the agreed point in the agreement so that afterwards there will not be any complication. Best is to register the agreement document to avoid further complications in the future.
    If possible make a drawing of the site and clearly mark the area which you are giving for rent. Better the agreement you and your client are going to write should also be get registered.
    If the above mentioned precautions are taken you can do subletting also.

    drrao
    always confident

  • Hi,

    Thank you very much for your answer sir. It's clear and informative

  • For subleting a part of the rented accommodation consent of owner is required so you have to see that the agreement document with owner speaks about it clearly. This is a very important point otherwise it will lead to legal complications later.

    For subleting a portion you have to go for the agreement with the subletee clearly defining the scope and area for his use.

    If the agreement documents are properly prepared without ambiguity you will be carrying out your business smoothly within your premises and subletee will be within his boundaries.

    Knowledge is power.

  • Please check the rent agreement very carefully. In most of the rent agreements it is clearly mentioned that sub-letting is not allowed under any circumstances.
    So, if you sub-let the commercial space taken on rent from someone, it is violation of the agreement and the owner may sue you in Court.
    So, don't sub-let the rented area/space. If it is absolutely necessary, take written consent from the owner.

    Beware! I question everything and everybody.

  • Even if it is not written in the rent agreement, one cannot sublet a space or a part thereof.

    Of course with the written consent of the landlord, one can sublet it or a part thereof.

    When you talk, you are only repeating what you already know. But if you listen, you may learn something new!

  • What you are asking is about sublease and not plain renting. This subleasing option will be available to you only if, the landlord or owner agrees to this clause of sublease or subletting in the agreement entered with you.

    In case of sublease or subletting you will be earning income in form of rent for the property you have taken on rent and also running a shop in the same space. In such a case you will be making more money than what the owner or landlord must have thought of, you would be making. So the owner may ask for more rent from you or will let it out in the same fashion you have thought of and can usurp you from the property.

    You must get this thing cleared from the owner or landlord before doing so or else the same may cause problem to you.

    In addition you may not be able to sublet or sublease the property, as it is not in your name and you will need the same in written from the owner that you are free to do so or a power of attorney in your favor allowing you to sublet or sublease the property to some other individual or person or entity.


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