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Differences between Sublet vs. Sublease

Subleasing - Milbrook Properties - NY FL NJ

If you’ve occupied a commercial space on rent and wish to leave before the end of your commercial lease, you’ll need to check the rental agreement to figure out what options you have. Whether it’s a strip mall, a retail center, or a shopping center, it’s critical to possess an understanding of how the sublet concept differs from that of a sublease. This is exactly what we’ll cover in this guide:

How Subletting Differs from Subleasing

While both subleasing and subletting are rental property options, they represent different ways of handling when it comes to moving out before the end of the lease term.

Subleasing involves renting part of or an entire space to another renter, but through the original renter. In this arrangement, the responsibility for the rental unit remains with the original renter, who leases a unit to another renter.

Let’s consider an example to clarify this. Suppose you're in a rent agreement and need to relocate. You choose to sublease the space to another party, who would pay the rent to you, which you will in turn pay to the landlord. Not only do you remain the renter on the property but you will also be responsible for any damages that occur to the unit.

But there’s another form of subleasing, in which you rent a house or apartment with some extra space and rent out that additional space to a roommate. In most cases, you’ll pay a rent payment as a collective payment.

In contrast, subletting is when the landlord creates a new rental agreement with a new party. The new tenant or tenants will pay rent directly to the landlord. In this case, the rent agreement with the former renter becomes void. They will move out and have no responsibility for rent or any damages that are incurred to the property.

Spaces Available In New York, New Jersey, and Florida

By now, you should have developed a clear understanding about the difference between a sublet and a sublease. While these concepts are more relevant to moving out of a commercial real estate unit, if you're looking to acquire commercial space, reach out to Milbrook Properties. We have some amazing rental or leasing options for retailers in New York, New Jersey, and Florida. To explore vacancies, contact us today!

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