| Leasing Guide |
The estimates have taken into consideration all other office elements such as walkways, circulation areas, filing areas, meeting and conference rooms, reception areas.
Easily available from reputable international real estate consultancy firms.
Usually carried out in the presence of the building owners or their representatives.
Usually referred to as the lettable area measured from the centre of perimeter barrier and include column areas. Any inclusion of common areas such as corridor space within the lettable area calculations, though rare, will in most cases be highlighted.
Usually 2 to 5 years for office and retail space and 2 years for residential units with an option to renew. The Landlord normally requires 3 to 6 months' notice of the Tenant's intention to exercise his option for the former and 2 months' for the latter. Rental will be re-negotiated at a mutually agreed rate between both parties based on market conditions.
Customarily quoted on a monthly per square foot basis for office premise and absolute quantum for other category of properties. Paid monthly, usually remaining the same throughout the Lease Term. The Rent, commonly referred to as "Gross Rent", is generally inclusive of Base Rent and Service Charge/Management Fees. Landlord also pays for property tax and quit rent (as applicable to landed property).
Paid monthly, included in Rent. Covers the cost of the management staff, security personnel, air-conditioning during office hours, the general up keep of all communal areas of the development or building, and includes a sinking fund element in strata-titled buildings. Apportioned on a floor area basis and varies according to market costs. Usually reviewed annually.
An Option To Lease gives the Tenant the sole right to rent the property for a limited period, usually 1 to 2 weeks. To secure this right, the Tenant pays a down payment, termed a Holding Deposit or an Option Fees/Money, "Subject To Contract", to the Landlord or Landlord' s solicitor.Generally equivalent TO 1 month 's Rent and payable upon the acceptance of an offer, prior to receiving a copy of the Tenancy Agreement. Upon signing of the Tenancy Agreement, the Holding Deposit, in most cases becomes part of the Security Deposit (3-6 months rent for office and retail space and 2 months for residential units). If the lease fails to go through prior to the signing of the formal Tenancy Agreement, the Holding Deposit is usually not refundable in full; in most cases the Holding Deposit is forfeited.
Usually equivalent to 3-6 months' rent (for office and retail space, 2 months for residential units), paid to the Landlord upon the signing of the formal Tenancy Agreement. Held by the Landlord, is refunded without interest on the expiry of the Lease, provided that the terms of the Lease have been adhered to. Terms upon which the Security Deposit is returned should be clearly stated in the Tenancy Agreement.
Landlord is responsible for the insurance of the building, excluding fittings and fixtures installed by the Tenant, against damage by fire or such risks as the Landlord my deem fit. Tenant to keep insured the premises, including any fittings, furniture, chattels and properties of the Tenant, throughout the renovation and tenancy period at their own cost.
Commercial premises are usually leased with air-conditioning, false ceilings, integral lighting and access to a mains point.
A form of concession in soft market situations to maintain a higher signing Rent rate or to attract desirable tenants. Ranges from 2 to 4 months.
Tenants are required to submit fitting out plans to relevant authorities for approval. Before the commencement of renovation works, such plans are to be duly endorsed by the Landlord first. In cases where there are alterations to building structures, mechanical and electrical systems, fire protection systems, etc, professional consultants' endorsements are also required before submission to relevant authorities. Interior designers and space planners, who normally also act as project managers, are well equipped and trained in this aspect and are able to advise and coordinate the process on the Tenant 's behalf.
Usually paid to the Landlord before the commencement of fitting out works and refunded after lease commencement. The amount is used for rectification of the common areas should the Tenant's contractor cause any damages during the fitting out period. The amount is stated in the Lease Agreement and varies from RM500 upwards.
The Tenant is usually required to reinstate the premises to its original condition as at hand over at the beginning of the Lease after the Lease ends or is terminated.
Borne by the Tenant.
Tenant is responsible for the cleanliness of the premises during the Lease term, while the Landlord is responsible for the upkeep of the common areas.
Season parking lots are usually allocated based on the size of the Tenancy. Usually 1 carpark lot is allocated for every 1,500 sq ft leased. Most apartments and condominiums come with at least one free car parking space.
Generally, the Tenant is responsible for the interior and the Landlord, the exterior, of the premises. Details of the rights and obligations of Tenants and Landlords are stated in the Tenancy Agreement.
Option To Lease ,Tenancy Agreement, Commission Agreement with Property Agent
Fully furnished and cleaned on a regular basis. Useful for newcomers in the process of finding their own more permanent accommodation. This type of accommodation is getting to be popular with short term stay for expatriates and the amenities provided are equivalent to full condominium facilities. Landlord is responsible for all electricity and water charges and the tenant pays only for telephone charges used.