When businesses change, whether expanding, downsizing, or temporarily relocating, subleasing can be a flexible solution for tenants, subtenants and landlords. But without a properly structured agreement, it can also open the door to confusion, financial exposure, and legal disputes.

At Newmark Commercial Real Estate, we go beyond simply connecting parties. We help ensure that every client…tenant, subtenant, or landlord…fully understands and protects their position throughout the sublease process.

How a Sublease Agreement Works

A sublease agreement (sometimes called a sublet) is a legally binding contract that allows an existing tenant to rent out all or part of their leased property to another tenant. The original tenant becomes the sublessor, while the new occupant is the sublessee.

Even when subleasing is permitted under the original lease, the primary tenant remains responsible for rent payments, maintenance, and compliance with lease terms. If a subtenant fails to pay, damages the property, or violates the lease, the landlord still looks to the original tenant for resolution.

That’s why having an experienced commercial real estate professional — one who understands both the financial and legal nuances of subleasing — can be invaluable.

“My role isn’t just to find space,” says Jacqueline Newmark-Tavares, Founder of Newmark Commercial Real Estate. “I make sure every agreement, whether new or sublet, is structured with intention, transparency and no ambiguity”

Key Elements Every Sublease Agreement Should Include

When structuring or reviewing a sublease, these are the most important sections to cover:

  • Contact Information: Full legal names, business entities, addresses, and contact details for both parties.
  • Reference to the Original Lease: Attach or reference the master lease so that both parties are aware of all governing terms and restrictions.
  • Rent & Payment Details: Amount, due date, payment method, and any late fee provisions.
  • Term of the Sublease: Exact start and end dates, with any renewal options clearly stated.
  • Security Deposit: Amount held, conditions for refund, and responsibilities for property condition.
  • Rules & Restrictions: Any policies regarding signage, alterations, use of premises, pets, smoking, or guests.
  • Landlord Consent: Written approval from the landlord is often required before a sublease is valid. This can be a complicated area, depending on the lease language.
  • Utilities & Maintenance: Clarify which party covers which costs — from repairs, electricity to janitorial services.
  • Furnishings or Fixtures: If any assets remain with the space, list them to prevent later disputes.

Jacqueline and her team frequently assist clients in reviewing these agreements, ensuring alignment with lease obligations.

Common Questions About Subleasing

Is subleasing risky?
It can be — particularly if the sublease isn’t structured properly. The original tenant remains financially responsible, even if the subtenant defaults. A well-crafted agreement minimizes that risk.

Do I need my landlord’s permission?
In most cases, yes. Even if the lease allows subleasing, written consent from the landlord is typically required to formalize the arrangement. This can be a complicated area. 

How do I find a reliable subtenant?
Beyond advertising, conduct credit checks, review financials, and verify business history. Jacqueline often assists clients in vetting and negotiating with potential subtenants to ensure compatibility and stability.

Who pays rent to whom?
The subtenant usually pays the original tenant, who then continues to pay the landlord as usual. This ensures continuity and accountability.

Work With a Trusted Commercial Real Estate Partner

Subleasing can be a strategic move — but only if it’s done correctly. Whether you’re a tenant seeking flexibility, a landlord managing occupancy, or a business looking for short-term space, Newmark Commercial Real Estate can guide you through every step.Serving Boca Raton and South Florida
561-702-8187
www.NewmarkCommercial.com