Sublease

A sublease occurs when a tenant of commercial property rents the space (or a portion of it) to another tenant. The original tenant acts as a lessor in this arrangement but remains fully responsible to the landlord for all obligations under the primary lease.

This arrangement is common when tenants have excess space, require temporary occupancy arrangements, or wish to exit a lease partially. The subtenant pays rent to the intermediate tenant, who continues to pay the landlord. Subletting is only permitted if the original lease explicitly allows it; many landlords restrict or prohibit subleasing altogether.

Legally, the original tenant retains full liability for the lease terms and remains the landlord's primary point of contact and enforcement.