Subcontract Lease Agreement Template for United Arab Emirates

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Key Requirements PROMPT example:

Subcontract Lease Agreement

"I need a Subcontract Lease Agreement for subletting 500 square meters of warehouse space in Dubai Industrial City to a logistics company, with a term starting March 1, 2025, including specific provisions for 24/7 access and heavy machinery usage."

Document background
The Subcontract Lease Agreement is essential in the UAE's dynamic property market where businesses frequently need to optimize their leased space usage. This document is particularly relevant when companies need to sublease excess space or when business restructuring requires partial space utilization. The agreement must carefully balance the rights and obligations of all parties while ensuring compliance with UAE Federal Law, emirate-specific regulations, and RERA requirements. It includes crucial elements such as property details, term duration, rental payments, maintenance obligations, and specific UAE law compliance requirements. The document is commonly used in commercial, retail, and industrial contexts, requiring careful consideration of master lease terms and local property regulations. Special attention must be given to registration requirements and obtaining necessary approvals from relevant authorities.
Suggested Sections

1. Parties: Identification of the head tenant (as sublessor) and subtenant (as sublessee), including full legal names, addresses, and registration details if companies

2. Background: Context of the sublease, including reference to the master lease and confirmation of head tenant's authority to sublease

3. Definitions: Key terms used throughout the agreement, including 'Premises', 'Master Lease', 'Term', 'Rent', etc.

4. Grant of Sublease: Formal grant of the sublease, describing the premises and confirming the subordinate nature to the master lease

5. Term: Duration of the sublease, including commencement and expiry dates, ensuring they fall within master lease period

6. Rent and Payment Terms: Rent amount, payment schedule, method of payment, and late payment consequences

7. Security Deposit: Amount, payment terms, conditions for return, and permitted deductions

8. Use of Premises: Permitted use of the property and any restrictions

9. Maintenance and Repairs: Responsibilities for maintenance, repairs, and improvements

10. Utilities and Services: Responsibility for utility connections, payments, and service charges

11. Insurance: Required insurance coverage and responsibilities

12. Assignment and Further Subletting: Restrictions on assignment or further subletting

13. Default and Remedies: Events of default and available remedies

14. Termination: Grounds for termination and consequences

15. Governing Law and Jurisdiction: Confirmation of UAE law application and jurisdiction

Optional Sections

1. Fit-out Works: Include when subtenant is permitted to perform modifications or improvements

2. Property Management Rules: Include for properties within managed communities or buildings

3. Parking: Include when parking spaces are part of the sublease

4. Force Majeure: Include specific force majeure provisions beyond standard UAE law provisions

5. Environmental Matters: Include for industrial or commercial properties with specific environmental concerns

6. Service Charge: Include for properties where service charges are separately calculated or administered

7. Break Clause: Include when early termination options are to be provided

8. Guarantees: Include when additional security is required from a parent company or individual

Suggested Schedules

1. Schedule 1 - Property Details: Detailed description of the subleased premises, including floor plans and area calculations

2. Schedule 2 - Master Lease: Copy or relevant excerpts of the master lease agreement

3. Schedule 3 - Rent Payment Schedule: Detailed breakdown of rent payments, including due dates and amounts

4. Schedule 4 - Condition Report: Documentation of the premises condition at the start of the sublease

5. Schedule 5 - Building Rules: Applicable building or community rules and regulations

6. Appendix A - Fit-out Specifications: Technical specifications for any permitted modifications

7. Appendix B - Handover Protocol: Procedures and checklist for property handover

8. Appendix C - Registration Requirements: Documentation required for registration with relevant authorities

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant Industries

Real Estate

Commercial Property

Retail

Industrial

Office Space

Hospitality

Manufacturing

Logistics

Warehousing

Co-working Spaces

Shopping Centers

Entertainment Venues

Educational Facilities

Healthcare Facilities

Relevant Teams

Legal

Real Estate

Facilities Management

Operations

Finance

Compliance

Property Management

Asset Management

Commercial

Administration

Risk Management

Relevant Roles

Real Estate Manager

Property Manager

Facilities Manager

Legal Counsel

Commercial Director

Operations Manager

Chief Financial Officer

Asset Manager

Leasing Manager

Compliance Officer

Contract Administrator

Business Development Manager

Space Planning Manager

Real Estate Director

Property Administrator

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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