Commercial lease in Germany: Template, Key Clauses and Local Law (2026)

What a German commercial lease is, and why it favours freedom of contract A commercial lease in Germany (Gewerbemietvertrag) is a contract to rent business premises such as offices, shops, warehouses or restaurants. There is no separate commercial tenancy statute. The rules sit in the general lease provisions of the Civil Code (Burgerliches Gesetzbuch, BGB), Sections 535 and following. The important point for anyone used to German residential law is that the strong tenant protections for homes do not apply to business premises. Freedom of contract dominates, and the negotiated terms usually decide the outcome. That cuts both ways. A commercial tenant does not get the rent brake, the rent index or the extended statutory notice periods that residential tenants enjoy. In exchange, both sides can shape the lease to fit the deal. A strong lease is therefore a matter of negotiation, not of relying on protective defaults. This article is general guidance, not legal advice. Have a German property lawyer review a lease before you sign. ## What local law requires in 2026 - General BGB lease rules apply. The core duties, that the landlord provides the premises fit for the agreed use and the tenant pays rent, come from Sections 535 and following BGB. Most other terms are freely negotiable.

• No residential-style protection. The Mietpreisbremse (rent brake), the Mietspiegel (rent index) and the staggered statutory notice periods for homes do not apply to commercial premises. There is no legitimate-interest requirement and no social hardship protection on termination.
• The written-form trap (Section 550 BGB). A lease with a fixed term of more than one year must meet the statutory written form. If it does not, it is not void, but it is treated as running for an indefinite period, which means it can be terminated early by either side after the first year. This is a real and common risk with side letters and amendments that break the single-document form.
• Deposits are freely negotiable. There is no statutory cap on a commercial deposit and the residential rules in Section 551 BGB do not apply. In practice deposits or bank guarantees commonly run about three to six months rent.
• Termination of open-ended leases. Where a commercial lease has no fixed term, the statutory notice rules in Section 580a BGB apply, which for business premises generally allow termination with a few months notice to the end of a calendar quarter, unless the lease says otherwise. ## German commercial lease template Copy the block below and fill the bracketed fields. Keep the whole deal in one signed document to satisfy the written form. ``` COMMERCIAL LEASE (GEWERBEMIETVERTRAG) This lease is made on [DATE] BETWEEN: [LANDLORD NAME], [address] ("Landlord") AND [TENANT NAME], [address], [commercial register number] ("Tenant") 1. PREMISES AND USE The Landlord lets to the Tenant [address, area, description]. Permitted use: [office / retail / warehouse / restaurant]. The Tenant may use the premises only for this purpose. 2. TERM The lease runs for [fixed term of [N] years from [DATE] / an indefinite period]. [For a fixed term over one year, ensure the written form of Section 550 BGB is met in a single document.] [Renewal / option to extend: [terms].] 3. RENT AND OPERATING COSTS Rent is [AMOUNT] per month plus VAT [if opted], payable in advance by the [date]. Operating costs (Betriebskosten) are [borne by the Tenant per the schedule, paid on account with annual reconciliation]. Indexation: [to the consumer price index, as agreed]. 4. DEPOSIT / BANK GUARANTEE The Tenant provides [3 to 6 months rent] as a deposit or bank guarantee. 5. MAINTENANCE AND REPAIRS The Landlord maintains [structure, roof, exterior]; the Tenant handles [interior, cosmetic repairs] as agreed. [Cap on allocated repair costs.] 6. FIT-OUT AND ALTERATIONS The Tenant may carry out [agreed fit-out]; other alterations need the Landlord's consent. At the end, [restore / leave] as agreed. 7. SUBLETTING AND ASSIGNMENT The Tenant may sublet or assign only with the Landlord's consent, not to be unreasonably withheld. 8. TERMINATION [Fixed term: ends on expiry; early termination only for good cause or as agreed.] [Indefinite: notice under Section 580a BGB or as agreed.] 9. HANDBACK At the end the Tenant returns the premises in the agreed condition, clear of its property. 10. GOVERNING LAW German law applies. The ordinary courts have jurisdiction. Signed: Landlord ____________ Tenant ____________ Name / date Name / date

- **Term and written form (clause 2).** For any fixed term over a year, keep the whole agreement, including annexes and later changes, in a form that satisfies Section 550 BGB. Otherwise the lease is treated as indefinite and either side can walk away after year one, which can destroy a tenant's security or a landlord's income certainty.
- **Operating costs (clause 3).** German commercial leases often pass a long list of operating costs (Betriebskosten) to the tenant, settled by annual reconciliation. Check what is included and whether there is a cap, because this can add substantially to the headline rent.
- **Maintenance and repair allocation (clause 5).** Unlike residential leases, commercial leases can shift more repair and maintenance onto the tenant. Negotiate a cap on cosmetic repair and maintenance costs to avoid open-ended exposure. ## Red flags to avoid - A fixed-term lease over a year whose written form is broken by a side letter, so it becomes terminable after year one.
- Assuming residential protections apply. They do not, so the negotiated terms are all the tenant has.
- An uncapped allocation of operating costs and repairs, which can far exceed the base rent.
- A vague permitted-use clause that later blocks a change of business or an assignment.
- No clarity on the VAT option, which affects both sides recoverable VAT.
- Overlooking handback and restoration duties, a frequent end-of-lease dispute. ## Where a contract workspace helps A template gives you a workable German lease. The ongoing work is everything after signing: keeping the whole deal in one written-form-compliant document so a side letter does not convert a fixed term into a terminable one, tracking the term, any option and the notice windows, watching operating-cost reconciliations and indexation dates, and keeping deposit and guarantee expiries in view across a portfolio. Drafting or reviewing a commercial lease, checking the written form and cost allocations, and tracking term, notice and indexation dates can sit in one AI workspace tuned to how your company leases. [Adira](https://adiralaw.com) is built around that shape: it drafts from a lease template, models the lease as linked clauses so it can flag an amendment that risks the Section 550 written form or an uncapped operating-cost clause, lets you edit in plain language, and keeps renewal, notice and break dates on one timeline. Adira is India-first today, and deeper Germany-specific coverage is on its roadmap rather than a settled claim, so use it for drafting and review and keep a German property adviser for the local-law call. The template above is enough to start a fair lease on its own. Last verified October 2026.