Form 512, Schedule, Agreement to Lease, Commercial

What Is the Commercial Agreement to Lease?

When it comes to leasing commercial property in Ontario, the OREA Form 512, commonly known as the Agreement to Lease Commercial, is the standard document used to outline the terms and conditions of a lease agreement between a landlord and a tenant.

At its core, the Agreement to Lease (Commercial) simplifies the terms and conditions under which a commercial property is leased. This crucial form ensures that all the essential aspects of the lease are formally agreed upon and legally binding.

Importance of OREA form 512

The OREA Form 512 is specifically designed to meet the needs of the Ontario real estate market, tailoring the agreement to lease commercial spaces according to local laws and regulations. This document serves as a critical tool in negotiating fair and compliant terms with provincial standards, minimizing risks for both parties involved in the transaction.

How to Fill Out OREA Form 512

Filling out the OREA agreement to lease commercial form 512 accurately is crucial to avoid future disputes and legal complications.

1. Begin by entering the names of the Tenant and the Landlord in the designated spaces at the top of the form. Be sure to spell the names correctly and include any necessary company designations or legal titles.
2. Input the address of the leased property, including street number, name, and any suite or unit numbers. Also, enter the city and postal code accurately.
3. Specify the date of the agreement in the provided space.
4. For the additional rent section, note the amount the Tenant agrees to pay per square foot and the total monthly cost.
5. In the section about alterations and improvements, indicate whether the Tenant is permitted to make alterations and at whose expense. 
6. Clarify if the Landlord’s written consent is required for any major changes and specify that minor internal improvements can be made by the Tenant without such consent, ensuring all are in compliance with applicable laws and regulations.
7. Both the Tenant and Landlord must initial the form as indicated at the bottom of the schedule.
8. Once all sections are completed, review the entire document for accuracy and completeness. Ensure that no required fields have been missed and that all information is correct.
9. After reviewing, you may save, print, or share the completed document. If necessary, you can also send it for signature to another party. 

Benefits of using a standardized agreement to lease

Using a standardized form like Form 512 simplifies the leasing process. This OREA template ensures both parties clearly lay out the landlord and tenant's obligations and rights. Additionally, 512 blank provides a legally sound basis for enforcement should disputes arise. The structure provided by the standardized form also allows for quicker consensus, as it covers general expectations common in most lease scenarios, saving time and reducing the need for extensive negotiations.