Commercial And Residential Lease Agreement Lawyers In Metro Detroit

Last updated on May 18, 2026

When it comes to commercial and residential lease agreements, it is important to understand your rights and obligations–whether you are a landlord or a tenant. These lease agreements are legally binding documents that outline terms such as rent, maintenance responsibilities and duration of the lease. Since a poorly written lease can lead to costly disputes, working with a qualified lease agreement lawyer is essential. Legal feedback can help ensure your lease protects your interests and complies with Michigan law.

Based in Farmington Hills, Brown Borkowski & Morrow serves clients throughout Metro Detroit and Oakland County. Our team of knowledgeable attorneys includes Mr. Matthew N. Morrow, who holds a Master of Law (L.L.M) in real property development. We are well-versed in commercial and residential lease matters, providing tailored legal guidance. If you are seeking a lease agreement lawyer, we are prepared to guide you through every step.

What Are Lease Agreements?

Lease agreements are legal contracts between a landlord and a tenant. They establish the terms of occupancy and financial responsibility. Both commercial lease agreements and residential lease agreements must comply with Michigan’s laws and include clear, specific language to avoid disputes.

• Commercial lease agreements: These are used for retail, office or industrial properties and often involve longer terms and more flexibility in negotiation.
• Residential lease agreements: They cover rental housing and are subject to additional tenant protections under Michigan law.

These agreements serve different purposes, so working with a landlord-tenant lawyer who can tailor the lease to your specific needs is crucial.

Understanding the Structure of Commercial Real Estate Leases

Unlike residential leases, commercial lease agreements vary significantly based on how operating expenses are allocated between the landlord and the tenant. Before executing a contract for retail, office, or industrial space, it is vital to identify which lease structure is being proposed:

• Net Leases (Single, Double, or Triple Net): In a net lease structure, tenants pay a base rent plus a predetermined, pro-rata share of the property’s operational expenses—such as property taxes, building insurance, and common area maintenance (CAM). It is critical to have an attorney audit these calculations prior to signing to ensure the operational percentages are fair and transparent.

• Full-Service Leases (Gross Leases): Often preferred for traditional office spaces, a full-service lease consolidates rent and all operational expenses into a single monthly bill. Under this arrangement, the landlord retains full responsibility for building upkeep, utilities, and general maintenance.

• Percentage Leases: Frequently utilized in retail and shopping center environments, a percentage lease requires the tenant to pay a base rent plus a specified percentage of the business’s gross sales revenue. Because of the complex financial accounting and audit provisions required, poorly drafted percentage leases frequently result in commercial real estate litigation.

Drafting And Reviewing Lease Agreements

Having a skilled attorney draft or review your lease agreement can help you:

• Avoid vague language that might lead to legal issues
• Ensure compliance with local and state laws
• Address issues like maintenance, repairs and lease termination
• Protect your investment or tenancy

A well-prepared lease is one of the best tools for preventing future disputes.

Key Due Diligence Steps Before Executing a Commercial Lease

Negotiating a commercial lease represents a long-term commitment that directly impacts your organization’s bottom line. To prevent expensive oversights and protect your business assets, several hidden risk factors must be thoroughly evaluated during the due diligence phase:

• Verify Build-Out Requirements and Necessary Upgrades: Ensure that the structural layout matches your operational needs. If the property requires wiring overhauls, plumbing adjustments, or corrections for pre-existing municipal code violations, these build-out responsibilities and tenant improvement allowances (TIA) must be explicitly negotiated into the written contract.

• Audit the Landlord and Property History: Beyond looking at competitive local real estate comparisons, it is beneficial to research the building owner, property dispute history, and close-range commercial competition. Investigating upcoming regional zoning shifts or looming local construction projects can save your business from unexpected operational disruptions.

• Evaluate Pre-Existing Condition and Restoration Clauses: Landlords frequently insert provisions requiring the tenant to return the commercial property to its exact “pre-existing condition” upon lease termination. Depending on the custom alterations made to walls, flooring, or fixtures, reverting the space back to its original layout can become an incredibly expensive exit cost if not limited or struck during initial negotiations.

• Remember That Every Provision Is Negotiable: From the base rent and escalation formulas to specific monthly due dates and exclusivity clauses that bar direct competitors from moving into the same building, every line item is negotiable.

Do Not Sign Without A Lawyer. Let Us Help You Protect Your Rights.

If you are dealing with a commercial or residential lease agreement in Metro Detroit, do not handle it alone. Brown Borkowski & Morrow can provide guidance and support. Our office is in Farmington Hills, but we also serve clients across Oakland County.

Call 888-757-1681 today or schedule a consultation online. Get a free consultation to get started.