The Extend Lease Agreement is a crucial document used when parties wish to continue their existing landlord-tenant relationship beyond the original lease term. This document type is commonly used in the Indian real estate market for both commercial and residential properties when the original lease is approaching its end date and both parties agree to continue their arrangement. It must comply with Indian property law, particularly the Transfer of Property Act, 1882, and various state-specific regulations. The agreement typically includes details about the extended term, any revised rent amounts, modified terms from the original lease, and confirmation of continuing conditions. It's essential for maintaining legal compliance while ensuring smooth continuation of lease arrangements, especially in cases where significant investments or business operations are tied to the leased property.
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1. Parties: Identification of the Lessor and Lessee with their complete details including names, addresses, and authorized representatives
2. Background: Reference to the original lease agreement, its date, term, and current status, establishing the context for the extension
3. Definitions: Key terms used in the extension agreement, including references to defined terms in the original lease that remain applicable
4. Extension Term: Specific details of the extension period, including start and end dates
5. Rent and Payment Terms: Updated rent amount, payment schedule, and any escalation clauses for the extension period
6. Confirmation of Original Terms: Clause confirming which terms from the original lease remain in effect during the extension period
7. Amendment to Original Terms: Clear specification of any terms from the original lease that are being modified for the extension period
8. Execution and Registration: Requirements for signing and registering the extension agreement as per applicable laws
1. Security Deposit Adjustment: Include when there are changes to the security deposit amount or terms
2. Maintenance and Repairs: Include when there are changes to the maintenance responsibilities during the extension period
3. Utilities and Services: Include when there are changes to the responsibility for utilities or additional services
4. Insurance Requirements: Include when there are modifications to insurance obligations
5. Break Clause: Include when parties want the option to terminate the extension early under specific conditions
6. Property Improvements: Include when allowing or restricting new modifications to the property during the extension period
1. Schedule 1 - Property Details: Detailed description of the leased property including address, measurements, and boundaries
2. Schedule 2 - Rent Payment Schedule: Detailed breakdown of rent payments, including escalation dates and amounts
3. Schedule 3 - Original Lease Agreement: Copy of the original lease agreement for reference
4. Schedule 4 - Property Condition Report: Updated condition report of the property at the time of extension
5. Appendix A - Required Modifications: List of any agreed modifications or repairs to be completed during the extension period
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