Leases – Heads of Agreement

A Lease Heads of Agreement is an essential first step in entering into a Lease, whether that be a retail or a commercial lease agreement.

There are several key essential commercial terms that should always be included in the Heads of Agreement, which is typically prepared by the agent acting for the Lessor / property owner.

Once the Heads of Agreement is agreed, a formal Lease is prepared and signed by the parties.

The parties can still negotiate the terms of the Lease which are not included in the Heads of Agreement terms.

Essential Heads of Agreement terms

The Heads of Agreement terms typically include:

1. Property address / folio / any separate car parking spaces / common area use;