Office Space Lease Agreement Template for Indonesia

The Office Space Lease Agreement serves as a legally binding document used when a property owner (landlord) agrees to rent commercial office space to a business entity (tenant) in Indonesia. This document is essential for protecting both parties' interests in commercial property transactions and must comply with Indonesian property law, particularly the Civil Code (KUHPerdata) and Law No. 28 of 2002 on Buildings. It typically includes detailed provisions about the premises, lease term, rental payments, maintenance obligations, service charges, and building regulations. The agreement is particularly important in Indonesia's growing commercial real estate sector, where proper documentation of property rights and obligations is crucial for business operations and legal compliance.

1. Parties: Identifies and provides full details of the Landlord and Tenant, including registration numbers for companies

2. Background: Sets out the context of the lease agreement and brief description of the property

3. Definitions: Defines key terms used throughout the agreement

4. Demised Premises: Detailed description of the leased office space and its boundaries

5. Lease Term: Duration of the lease, including commencement and expiry dates

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

7. Security Deposit: Amount, payment terms, and conditions for return of the security deposit

8. Service Charges: Building maintenance fees, utilities, and other operational costs

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

10. Maintenance and Repairs: Responsibilities of both parties regarding property maintenance

11. Insurance: Required insurance coverage for both parties

12. Tenant's Covenants: Obligations and promises of the tenant

13. Landlord's Covenants: Obligations and promises of the landlord

14. Assignment and Subletting: Rules regarding transfer of lease rights or subletting

15. Default and Remedies: Consequences of breach and available remedies

16. Termination: Conditions and procedures for ending the lease

17. Governing Law: Confirmation of Indonesian law as governing law

18. Dispute Resolution: Process for resolving disputes between parties

19. Notices: How formal communications between parties should be made

20. Execution: Signature blocks and execution formalities