Subletting office space under a commercial lease is a common practice that enables companies to maximize the use of their space while generating additional income. However, this approach requires a thorough understanding of legal obligations and best practices to avoid disputes. This comprehensive guide takes you through the essential steps for drafting an effective sublease agreement template, providing practical advice and real-life examples.
Subletting a commercial lease is a common practice that enables companies to maximize the use of their space while generating additional revenue. This comprehensive guide will provide you with all the information you need to draw up an effective sublease contract, including free templates, practical advice and tips on how to avoid disputes between lessor and lessee.
Understanding the sublease of a commercial lease
The sub-letting of a commercial lease consists in the principal lessee making all or part of its commercial premises available to a sub-lessee. This type of contract is governed by the French Commercial Code, in particular article L. 145-31, which stipulates that any sublease must be authorized in advance by the principal lessor. It is therefore crucial to fully understand the legal implications and obligations of both parties before embarking on such a project.
Advantages of subletting office space
Sub-letting office space offers many advantages for companies. It makes unused space more profitable, reduces rental costs for start-ups and small businesses, and creates synergies between the different entities present in the same space. To find out more about the advantages of subletting part of your office space to a start-up, read our dedicated article here.
Sublease agreement template
To help you draw up a commercial lease sublease agreement, we’ve provided a free template that you can download from this page. This template includes all the essential clauses to be included in such a contract, such as the duration of the sublease, the amount of the sublease, the obligations of the parties, and the conditions of termination.
Tips for drawing up a sublease contract
When drafting your sublease agreement, be sure to include the following items:
- The names and contact details of the parties (main tenant and subtenant).
- A precise description of the sublet premises.
- The duration of the sublease and conditions for renewal.
- Sublease amount and payment terms.
- The respective obligations of the parties (maintenance, repairs, etc.).
- Conditions for early termination.
Application for sublease authorization
Before subletting commercial premises, it is essential to obtain authorization from the principal lessor. You can download a sample sublease authorization form free of charge from
Maximize your income with subletting
Subletting can be an excellent way of maximizing your rental income. By making part of your office space available to another company, you can reduce your rental costs while benefiting from new cash flow. To understand how the 3-6-9 lease can still be relevant in this context, read our article here.
Managing an operated office
An operated office is a flexible solution that lets you rent fully-equipped workspaces managed by an operator. This option is particularly attractive for companies looking to focus on their core business without the constraints of property management. To find out more about the workings and benefits of an operated office, read our dedicated guide here.
Avoiding disputes between landlords and tenants
To avoid disputes between the main landlord and the main tenant, as well as with the sub-tenant, it’s essential to draw up the sub-letting contract properly, and to comply with legal requirements. Make sure that all parties are aware of their rights and obligations, and that all contract clauses are clear and precise. If in doubt, consult a lawyer specializing in real estate law.
What is a commercial lease sublease?
A commercial lease sublease is an agreement by which the principal lessee of a commercial premises authorizes another company (the sublessee) to use all or part of the premises in exchange for a sub-rent. This contract creates a separate contractual relationship between the main tenant and the subtenant.
Why use a sublease contract template?
Using a sublease contract template ensures that all essential clauses are included and that the contract complies with legal requirements. This helps to secure the investment and avoid potential disputes between the parties involved.
What are the steps involved in effective subletting?
To achieve an effective sublease, it is recommended to follow these steps:
- Obtain authorization from the principal lessor.
- Draw up a clear, detailed sublease contract.
- Carry out an entry and exit inventory of fixtures.
- Ensure that the subtenant complies with the obligations of the master lease.
- Manage sub-lease payments on a regular basis.
- Maintain open communication between all parties.
What are the advantages of subletting part of your office space?
Subletting part of your office space can offer a number of advantages:
- Generate additional income.
- Optimize use of available space.
- Foster collaboration and innovation by hosting start-ups and other companies.
- Reduce operating costs by sharing certain infrastructures.
How do I write a sublease authorization request to my landlord?
To write a request for sublease authorization to the landlord, we recommend you follow a specific letter template. The letter must include :
- Contact details for the main tenant and lessor.
- A precise description of the premises to be sublet.
- Information about the potential subtenant.
- Sublease conditions (duration, sublease amount, etc.).
- A copy of the attached commercial lease.
What should a commercial lease sublease contract contain?
A commercial lease sublease agreement must contain several essential elements, including:
- The identities of the parties (main tenant and subtenant).
- A precise description of the sublet premises.
- The duration of the sublease.
- Sublease amount and payment terms.
- The obligations and responsibilities of each party.
- Contract termination conditions.
- Specific clauses in compliance with the French Commercial Code.
How to avoid disputes between the main tenant and the subtenant?
To avoid disputes, it is crucial to :
- Draw up a clear, comprehensive sublease contract.
- Carry out an entry and exit inventory of fixtures.
- Maintain transparent communication between all parties.
- Comply with contractual and legal obligations.
- Include conflict resolution mechanisms in the contract.
