A Letter of Intent to Lease Commercial Property is commonly used in the early stages of commercial property negotiations in England and Wales. It serves as a crucial stepping stone between initial discussions and the formal lease agreement, typically issued after principal terms have been agreed but before detailed legal negotiations commence. The document outlines key commercial terms, including rent, duration, and special conditions, while usually maintaining a non-binding status except for specific provisions such as exclusivity or confidentiality. It provides a clear framework for further negotiations while protecting both parties' interests under English property law.
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1. Party Details: Full legal names and addresses of both landlord and prospective tenant
2. Property Description: Detailed description of the commercial property, including address and any relevant floor plans
3. Proposed Terms: Key commercial terms including rent, lease duration, and anticipated start date
4. Non-Binding Statement: Clear statement regarding the non-binding nature of the LOI (except for any specifically binding provisions)
5. Timeline: Expected timeline for lease negotiation and completion
1. Exclusivity Period: Period during which the landlord agrees not to negotiate with other potential tenants
2. Deposit Details: Any initial deposit or security requirements
3. Conditions Precedent: Specific conditions that must be met before proceeding
4. Confidentiality Provisions: Terms regarding confidentiality of negotiations
1. Floor Plan: Preliminary floor plan of the premises
2. Draft Heads of Terms: Detailed commercial terms for the proposed lease
3. EPC Certificate: Current Energy Performance Certificate for the property
4. Property Information: Additional property details, specifications, or photographs
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