Commercial Lease Laws in Florida
Don't sign a lease in Florida until you understand the local statutes, tax implications, and common landlord traps.
Key Statutes & Considerations
Florida charges state sales tax on commercial rent (currently ~4.5% + surtax). Ensure this is in your budget.
Insurance costs are skyrocketing. Ensure you aren't liable for the full hurricane deductible (often 2-5% of building value).
Common Red Flags in Florida
Commercial real estate in Florida typically favors the landlord in standard lease drafts. Whether you are in Tallahassee 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 Florida?
Yes, NNN leases are the industry standard for commercial retail and office space in Florida. They shift the burden of property taxes, insurance, and maintenance to the tenant.
Can I negotiate my commercial lease in Florida?
Absolutely. Unlike residential leases, commercial leases are presumed to be negotiated between equal parties. Never sign the first draft.