The Non-Binding Letter of Intent to Lease is commonly used in Singapore's real estate market as a preliminary step before entering into a formal lease agreement. It typically outlines key commercial terms such as rental rates, lease duration, and basic conditions while explicitly stating its non-binding nature. This document is particularly useful in commercial property transactions where parties need to establish clear communication of intent and basic terms before proceeding with detailed lease negotiations and due diligence. Under Singapore law, while the document itself is non-binding, it provides a structured framework for subsequent negotiations and helps parties align their expectations early in the process.
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1. Opening Statement: Date, parties involved, and property details
2. Non-Binding Declaration: Clear statement that the LOI is non-binding and does not create legal obligations except where explicitly stated
3. Proposed Terms: Key commercial terms including proposed rental, lease term, and property usage
4. Timeline and Process: Expected timeline for negotiation and formal lease execution
5. Closing and Signatures: Signature blocks, date, and contact information for both parties
1. Exclusivity Period: Terms regarding exclusive negotiation rights and duration
2. Confidentiality Provisions: Non-disclosure obligations regarding the negotiations and shared information
3. Due Diligence Process: Framework for property inspection and documentation review
4. Conditions Precedent: Any specific conditions that need to be met before proceeding with formal lease
5. Cost Allocation: Distribution of costs related to the lease preparation and due diligence
1. Property Floor Plan: Basic layout and dimensions of the premises
2. Proposed Lease Terms Summary: Detailed list of key commercial terms and conditions
3. Property Information Sheet: Technical specifications, facilities, and amenities of the property
4. Required Documentation List: List of documents required for due diligence and lease completion
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