The Letter Of Intent To Rent Commercial Space is a crucial preliminary step in U.S. commercial real estate transactions, typically used when a business or organization is seriously interested in leasing commercial property but wants to outline key terms before committing to a formal lease agreement. This document, while primarily non-binding, establishes the fundamental parameters of the proposed lease arrangement and demonstrates serious intent to negotiate. It serves as a roadmap for attorneys drafting the final lease agreement and helps prevent misunderstandings between parties. Common in all U.S. states, though specific requirements may vary by jurisdiction, it typically precedes more detailed lease negotiations and due diligence processes. The LOI helps streamline subsequent negotiations by documenting preliminary agreements on crucial terms such as rental rates, lease duration, and space improvements.

1. Date and Parties: Identification of the prospective landlord and tenant, including legal names and addresses

2. Property Description: Detailed description of the commercial space, including address and square footage

3. Proposed Use: Intended use of the commercial space by the tenant

4. Lease Terms: Key commercial terms including proposed rent, lease duration, and commencement date

5. Security Deposit: Proposed amount and terms of the security deposit

6. Operating Expenses: Outline of responsibility for utilities, maintenance, insurance, and other operating costs

7. Improvements: Proposed tenant improvements and any landlord contributions

8. Timeline: Proposed timeline for lease negotiation and execution

9. Non-Binding Nature: Statement clarifying the non-binding nature of the LOI (except for specified provisions)

10. Signature Block: Space for signatures of both parties