In our next newsletter, we will discuss more concrete cases, such as the consequences of an expropriation of rented premises, the delivery of rental space after the expiry of the lease, some specific considerations about lenders, capital taxes, transfer levies, exclusivity clauses and purchase options. The net triple lease is the most common form of commercial leasing. They can be used for retail, warehousing and industrial real estate. The tenant bears all operating costs of the building (including repairs and maintenance) in a net triple lease. In a net lease (also known as a triple net lease), the tenant pays a flat fee (basic rent), taxes, and operating and maintenance costs. If you would like an emphyteic lease or would like more information, please contact us via the form below or here. The voluntary or forced transfer of the rental property or the extinguishment of the landlord`s title for some other reason does not terminate a lease agreement (Article 1886, CCQ). If it is fully registered, it must be signed before a Quebec notary (who, by his signature, certifies that he has verified the identity, status and performance of the parties and that the document reflects the intention they expressed) or can be signed without the presence of a notary before two witnesses, one of whom is under oath (Article 2995 , CCQ). If the lease has become notarized, the notary who established it can submit an extract without deliberately omitting more “sensitive” information (such as rent) that the parties do not necessarily want to publish. If the lease is not notarized, it cannot be drawn up and must therefore be fully registered, including such “sensitive” information. A commercial lease is used by a tenant to rent space for a business, while rent is used by a tenant to rent a house or premises where they can reside personally.
Commercial leases are generally considered contracts between competent businessmen. As a result, tenants of commercial real estate are less protected by the state than tenants of dwellings. Since the parties are competent businessmen, the underlying belief is that they should be able to negotiate the terms of the lease to their liking.