What You Must Know About Commercial Leasing in Colorado

The Ins and Outs of Commercial Leasing in Colorado

Commercial leasing in Colorado, with its vibrant cities like Denver and Boulder, offers lucrative opportunities for both landlords and tenants. However, with opportunities come responsibilities, especially when navigating the complexities of real estate law in the Centennial State. Here’s what you need to know about commercial leasing in Colorado to ensure your interests are safeguarded.

Types of Commercial Leases in Colorado

  • Net Lease: In this lease type, the tenant pays a portion or all of the property’s operating expenses, such as taxes, insurance, and maintenance. Variations include single-net, double-net, and triple-net leases, each determining the extent of the tenant’s responsibilities.
  • Gross Lease: This encompasses the cost of operating expenses in the rental amount. The landlord pays most or all of the property’s expenses.
  • Modified Gross Lease: This is a middle-ground where specific expenses are split between the tenant and the landlord, as agreed.

Key Clauses to Understand

  • Use and Exclusivity Clauses: This defines how the tenant can use the rented space. An exclusivity clause ensures that the landlord doesn’t lease any other premises in the same building or complex to a direct competitor.
  • Renewal and Termination Clauses: These detail the lease’s extension process and the terms under which either party can terminate the lease agreement.
  • Maintenance and Repair: This outlines the responsibilities of both parties specifically concerning the upkeep of the property.
  • Rent Adjustment: It’s essential to understand when and how the rent can be adjusted, this clause explains whether it’s adjusted annually or based on certain triggers.
  • Sublease and Assignment: This determines if a tenant can sublet the space or assign the lease to another entity.

Colorado-Specific Commercial Leasing Laws

  • Disclosure Requirements: Colorado law mandates certain disclosures be made by a commercial leasing agency, such as energy efficiency, for commercial properties.
  • Security Deposits: Colorado does not have a statutory limit on security deposits for commercial properties, but the terms of the return should be clearly specified in the lease.
  • Termination and Eviction: Colorado has specific notice requirements for terminating commercial leases and a defined process for evicting a commercial tenant.
  • ADA Compliance: Properties must comply with the Americans with Disabilities Act, by ensuring accessibility for people with varying disabilities.

Why Legal Guidance is Crucial

With commercial leasing, what you don’t know can hurt you. Ambiguous terms or overlooked clauses can lead to disputes or significant financial losses. An experienced Colorado Real Estate Lawyer can review lease agreements, ensuring they’re drafted in your favor, compliant with Colorado laws, and free of potential pitfalls.


Denver LawyerCommercial leasing in Colorado presents a myriad of opportunities, but the legal landscape can be challenging. By understanding the foundational elements of commercial leases and seeking expert legal guidance, you can navigate this realm confidently and securely.

Embarking on a commercial leasing venture in Colorado? Equip yourself with the best legal expertise. At Baker Law Group, our professionals have years of experience ensuring that commercial leasing transactions are seamless and beneficial for our clients.

Whether you need a Colorado Real Estate Attorney for lease reviews, a Real Estate Attorney Colorado for negotiations, or a Real Estate Attorney in Colorado for comprehensive leasing solutions, we have you covered.

Recent post