Christian Business

Things To Consider With A Church Rental Lease Agreement

In the New Testament, Jesus says that wherever two or three are gathered in his name, he is present among them. But even though Christians can experience fellowship anywhere, it is still important to have a formal meeting space for regular church services.

If your church is looking for a new building, renting a property can be an excellent option. For many churches, renting building space is more financially viable than buying one.

But you want to make sure to get the best deal. On that note, here are 5 things to consider before you sign a rental lease agreement for your church.

What Type of Rental Lease Agreement is Being Offered?

Not all lease agreements are created equal. There are many different types of commercial leases, so it is important to do research on the terms and options so you can better negotiate the terms.

For instance, some types of leases include additional services, like janitorial staff and repairs. Different types of leases also have different fees associated with them, including load fees and percentage fees.

The type of lease you have will also affect what types of payments you have to make. For instance, triple net leases, have the tenant pay for property tax, building insurance, and maintenance. Knowing exactly what the terms of your lease are will help you avoid hidden costs.

Are the Terms Negotiable?

Early on in the conversation with a potential landlord, you want to find out how willing they are to negotiate on the terms of the rental lease agreement. You should look for a landlord who is willing to negotiate on terms like the length of the lease, size of security deposits, and limits on rent increases.

If a landlord is not willing to negotiate early on, this may indicate they will be difficult to work with later.

What Kind of Insurance do I Need?

The terms of the rental lease agreement are not the only costs you’ll have. It’s important to clarify what kind of insurance you’ll need, and how much coverage you’ll have to purchase. Remember that insurance costs will impact your monthly payment.

Use Clauses

Most lease agreements will detail what kinds of activities can take place on the property. Make sure the agreement specifically says the property can be used for religious gatherings. You may also want to restrict certain activities on church property, like drinking or smoking.

Parking Lot

When working on lease agreements, many churches forget to consider the parking lot. It’s essential for your church to be able to provide reliable parking for your congregation.

Make sure the lease agreement addresses who will maintain the parking lot. If you live in a cold climate, the contract should stipulate who is responsible for clearing snow.

Building Your Church’s Presence

Once you’ve signed the right rental lease agreement, you will now have a meeting space for your church family to gather.

But a physical location isn’t all you will need. You should also make sure to build your online presence through a church website to help people find your congregation.

If you’re interested in getting help to build your church’s website, contact us to get started.