What is the difference between a purchase agreement and a lease agreement in commercial real estate?

The difference between a purchase agreement and a lease agreement in commercial real estate is that a purchase agreement is an agreement to buy and own the real estate while a lease agreement is an agreement to rent the real estate. A purchase agreement will usually include a purchase price and terms of payment, details about the real estate, and any conditions that must be met for the deal to go through. It will also outline what will happen if the sale does not go through. A purchase agreement should also include the buyer’s rights to inspect the property and what the seller must do to prepare the property for the sale. A lease agreement generally covers the terms of the rental, the amount of rent to be paid, the length of the lease term, and any rights and responsibilities that the tenant and landlord have during the lease. It may include other provisions, such as how much rent can be increased, whether pets are allowed, and who is responsible for maintaining the property. In California, there are specific laws regulating commercial real estate transactions. To ensure that both parties are aware of their rights and responsibilities, it is important that any agreement is drafted by a professional attorney who is familiar with the relevant laws.

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What is the difference between a purchase agreement and a lease agreement in commercial real estate?

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