Lease term

A lease term specifies the length of a rental agreement for commercial real estate, establishing the binding period between tenant and landlord. It is the core timeframe within which all rental payments, maintenance obligations, and other contractual conditions apply.

In commercial property markets, lease terms typically range from 3 to 12 years for office, retail, and industrial spaces. The lease term often includes renewal options or break clauses, providing both parties with flexibility or exit strategies. The length of the term influences property valuation, tenant planning, and long-term revenue predictability for the landlord.