The Sublet Tenancy Agreement is a crucial document used in Hong Kong when an existing tenant wishes to rent out all or part of their leased premises to another party. This arrangement is common in both commercial and residential contexts, particularly in Hong Kong's dynamic property market where space optimization and flexibility are essential. The document must comply with Hong Kong's property laws, including the Landlord and Tenant (Consolidation) Ordinance, and typically requires the head landlord's consent. It includes detailed provisions for rent, deposit, maintenance, utilities, and other obligations, while ensuring the subtenant's use aligns with the head lease terms. This agreement is particularly relevant in situations involving corporate relocations, temporary assignments, or space-sharing arrangements in Hong Kong's competitive real estate market.

1. Parties: Identifies the head tenant as sublessor and the incoming subtenant, including full legal names and identification/company details

2. Background: Explains the existence of the head lease and the head tenant's right to sublet, including reference to head landlord's consent if required

3. Definitions: Defines key terms used throughout the agreement, including 'Premises', 'Head Lease', 'Term', and 'Rent'

4. Grant of Sublease: The formal grant of the sublease subject to the terms and conditions

5. Term: Duration of the sublease, including start and end dates, ensuring it ends before the head lease

6. Rent and Payment Terms: Specifies rent amount, payment frequency, method of payment, and due dates

7. Deposit: Details of security deposit amount, payment, holding, and return conditions

8. Utilities and Outgoings: Responsibility for utility payments, management fees, and other charges

9. Use of Premises: Permitted use of the premises and any restrictions

10. Tenant's Obligations: Subtenant's responsibilities including maintenance, repair, and compliance with building rules

11. Sublessor's Obligations: Head tenant's ongoing responsibilities and obligations

12. Insurance: Required insurance coverage and responsibilities

13. Assignment and Further Subletting: Prohibition or conditions for further assignment or subletting

14. Termination: Grounds for termination and procedures

15. Yielding Up: Conditions for returning the premises at the end of the sublease