Commercial Lease Laws in Arkansas
Don't sign a lease in Arkansas until you understand the local statutes, tax implications, and common landlord traps.
Key Statutes & Considerations
Arkansas is unique in that failure to pay rent and vacate can technically be a criminal offense (though rarely prosecuted today).
Common Red Flags in Arkansas
Commercial real estate in Arkansas typically favors the landlord in standard lease drafts. Whether you are in Little Rock or elsewhere, you need to watch out for:
- Uncapped NNN Charges: Variable costs like property taxes and insurance can skyrocket.
- Broad Indemnification: Clauses that require you to pay for the landlord's negligence.
- Relocation Clauses: Rights for the landlord to move your business to a worse location.
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Frequently Asked Questions
Is a Triple Net (NNN) lease legal in Arkansas?
Yes, NNN leases are the industry standard for commercial retail and office space in Arkansas. They shift the burden of property taxes, insurance, and maintenance to the tenant.
Can I negotiate my commercial lease in Arkansas?
Absolutely. Unlike residential leases, commercial leases are presumed to be negotiated between equal parties. Never sign the first draft.