Lease Contract Agreement Template for Indonesia

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Key Requirements PROMPT example:

Lease Contract Agreement

"I need a Lease Contract Agreement for a commercial office space in Jakarta Central Business District, starting from March 1, 2025, with a 5-year term and an option to renew for an additional 3 years, including provisions for fit-out works and specific building management rules."

Document background

The Lease Contract Agreement serves as a fundamental legal instrument in Indonesian property transactions, establishing the formal relationship between property owners and tenants. This document is essential when any party wishes to lease real property in Indonesia, whether for residential, commercial, or industrial purposes. It must comply with Indonesian Civil Code (KUHPerdata), Basic Agrarian Law, and relevant regional regulations. The agreement typically includes detailed provisions on rent payment, security deposits, maintenance obligations, and use restrictions, while addressing specific Indonesian legal requirements such as language requirements and permitted lease durations. It's particularly important given Indonesia's unique property ownership and usage rights system, especially considering restrictions on foreign ownership and specific regulations regarding property utilization.

Suggested Sections

1. Parties: Identification of the lessor and lessee with complete legal names, addresses, and if applicable, company registration details

2. Background: Context of the lease arrangement and brief description of the property

3. Definitions: Definitions of key terms used throughout the agreement

4. Property Details: Detailed description of the leased property including address, boundaries, and certificate details

5. Lease Term: Duration of the lease, commencement date, and end date

6. Rent and Payment Terms: Rental amount, payment schedule, method of payment, and late payment consequences

7. Security Deposit: Amount, payment terms, conditions for return, and permitted deductions

8. Use of Property: Permitted use of the property and any restrictions

9. Maintenance and Repairs: Responsibilities of each party for maintenance, repairs, and improvements

10. Utilities and Services: Responsibility for utility payments and essential services

11. Insurance: Required insurance coverage and responsibilities of each party

12. Default and Termination: Events of default, termination rights, and consequences

13. Governing Law: Confirmation of Indonesian law as governing law and jurisdiction

14. Dispute Resolution: Process for resolving disputes, including jurisdiction and venue

15. Notices: Method and addresses for formal communications between parties

16. Execution: Signature blocks and execution requirements

Optional Sections

1. Subletting and Assignment: Terms for subletting or assigning the lease - include for commercial properties or when specifically allowed

2. Fit-out Works: Regulations for tenant improvements and modifications - relevant for commercial or retail leases

3. Operating Hours: Specified hours of operation - include for commercial properties in building complexes

4. Common Areas: Rights and obligations regarding shared facilities - include for properties in multi-tenant buildings

5. Force Majeure: Provisions for unforeseen circumstances - particularly relevant post-COVID

6. Environmental Compliance: Environmental obligations - include for industrial or commercial properties

7. Building Rules: Specific building regulations - include for properties in managed buildings

8. Option to Renew: Terms for lease renewal - include when offering renewal rights

9. Break Clause: Early termination provisions - include when agreed by parties

Suggested Schedules

1. Property Floor Plan: Detailed plans showing the leased area and measurements

2. Inventory List: List of fixtures, fittings, and furniture included in the lease

3. Condition Report: Detailed description of property condition at commencement

4. Payment Schedule: Detailed breakdown of rent, service charges, and other payments

5. Building Rules and Regulations: Specific rules applicable to the property or building complex

6. Fit-out Guidelines: Technical specifications for permitted alterations and improvements

7. Service Level Agreement: Details of services provided by lessor, if any

8. Required Permits: Copies of relevant permits and certificates

9. Handover Protocol: Procedures for property handover at start and end of lease

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co

Relevant legal definitions

Clauses

Relevant Industries

Real Estate

Retail

Commercial Office

Industrial

Hospitality

Healthcare

Education

Manufacturing

Warehousing

Technology

Banking and Finance

Food and Beverage

Entertainment

Relevant Teams

Legal

Operations

Finance

Facilities Management

Real Estate

Administration

Compliance

Risk Management

Property Management

Asset Management

Business Development

Procurement

Relevant Roles

Property Manager

Facility Manager

Real Estate Manager

Legal Counsel

Corporate Lawyer

Operations Manager

Chief Financial Officer

Business Development Manager

Administrative Manager

Compliance Officer

Real Estate Agent

Property Administrator

Asset Manager

Branch Manager

Regional Manager

Contract Administrator

Risk Manager

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Let's create your Lease Contract Agreement

Authors

Alex Denne

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