Solar Lease Agreement Generator

SOLAR LEASE AGREEMENT

Effective Date: February 10, 2026

This Solar Lease Agreement ("Agreement") is entered into by and between:

Property Owner: [Property Owner Name]
Address: [Property Owner Address]

AND

Solar Company: [Solar Company Name]
Address: [Solar Company Address]

(each a "Party" and collectively the "Parties")

RECITALS

WHEREAS, the Property Owner is the owner of certain real property located at [Property Address] (the "Property"); and

WHEREAS, the Solar Company is in the business of installing, owning, and operating solar photovoltaic energy systems; and

WHEREAS, the Property Owner desires to lease a portion of the Property to the Solar Company for the installation and operation of a solar energy system, and the Solar Company desires to lease such space under the terms and conditions set forth herein;

NOW, THEREFORE, in consideration of the mutual covenants contained herein, and for other good and valuable consideration, the Parties agree as follows:

1. PARTIES

1.1. PROPERTY OWNER: [Property Owner Name], with a principal address at [Property Owner Address] (the "Property Owner").

1.2. SOLAR COMPANY: [Solar Company Name], with a principal address at [Solar Company Address] (the "Solar Company").

2. PROPERTY AND SYSTEM DESCRIPTION

2.1. PROPERTY: The Property is located at [Property Address].

2.2. SOLAR ENERGY SYSTEM: The Solar Company shall install a solar photovoltaic energy system (the "System") on the Property with the following specifications:
    (a) System Size: [System Size];
    (b) Number of Panels: [Number of Panels];
    (c) Additional components including inverters, racking, wiring, meters, and all associated equipment necessary for the proper operation of the System.

2.3. INSTALLATION LOCATION: The exact location of the System on the Property shall be mutually agreed upon by the Parties prior to installation, taking into account optimal solar exposure, structural integrity of the installation surface, and aesthetic considerations.

2.4. The System and all of its components shall remain the personal property of the Solar Company throughout the term of this Agreement and shall not be deemed fixtures or improvements to the Property.

3. LEASE TERM

3.1. INITIAL TERM: The term of this Agreement shall be twenty (20) years, commencing on the date of successful installation and interconnection of the System (the "Commencement Date") and expiring at the end of the stated term (the "Expiration Date"), unless earlier terminated in accordance with this Agreement.

3.2. RENEWAL: Upon expiration of the initial term, this Agreement shall automatically renew for successive one (1) year periods unless either Party provides written notice of non-renewal at least ninety (90) days prior to the expiration of the then-current term.

3.3. The Property Owner acknowledges that the System has a useful life that may exceed the initial lease term and agrees to negotiate in good faith regarding any extension of the Agreement.

4. LEASE PAYMENTS AND ESCALATION

4.1. MONTHLY LEASE PAYMENT: The Property Owner agrees to pay the Solar Company a monthly lease payment of [Amount] (the "Monthly Lease Payment"), due on the first day of each calendar month during the term of this Agreement.

4.2. ANNUAL ESCALATION: The Monthly Lease Payment shall increase annually by two percent (2%) on each anniversary of the Commencement Date.

4.3. PAYMENT METHOD: All payments shall be made by check, electronic transfer, or automatic bank debit as agreed upon by the Parties.

4.4. LATE PAYMENT: If any payment is not received within ten (10) days of its due date, the Property Owner shall pay a late fee of five percent (5%) of the overdue amount. Payments outstanding for more than thirty (30) days shall accrue interest at a rate of 1.5% per month.

4.5. FIRST PAYMENT: The first Monthly Lease Payment shall be due on the first day of the month following the Commencement Date. If the Commencement Date does not fall on the first day of a month, the first payment shall be prorated accordingly.

5. INSTALLATION AND ACCESS

5.1. INSTALLATION: The Solar Company shall be responsible for the design, procurement, installation, and interconnection of the System at its sole cost and expense. Installation shall be performed in a professional and workmanlike manner in compliance with all applicable building codes, electrical codes, and utility requirements.

5.2. PERMITS AND APPROVALS: The Solar Company shall obtain all necessary permits, approvals, and interconnection agreements required for the installation and operation of the System, at its sole cost and expense. The Property Owner shall reasonably cooperate with the Solar Company in obtaining such permits and approvals.

5.3. ACCESS: The Property Owner grants the Solar Company, its employees, agents, and contractors reasonable access to the Property for the purpose of installing, inspecting, maintaining, repairing, and monitoring the System. The Solar Company shall provide reasonable advance notice before accessing the Property, except in cases of emergency.

5.4. ROOF AND STRUCTURAL WARRANTY: The Solar Company warrants that the installation of the System shall not void or impair any existing roof or structural warranty. If any damage to the roof or structure occurs as a result of installation, the Solar Company shall repair such damage at its sole expense.

6. MAINTENANCE AND REPAIRS

6.1. MAINTENANCE RESPONSIBILITY: Maintenance of the System shall be the responsibility of the Solar Company, as agreed upon by the Parties.

6.2. SCOPE OF MAINTENANCE: Maintenance shall include, but not be limited to: cleaning of solar panels, inspection and repair of electrical connections, monitoring system performance, replacing defective components, and ensuring compliance with manufacturer specifications.

6.3. The responsible Party shall ensure that all maintenance is performed by qualified technicians and in accordance with manufacturer recommendations and industry standards.

6.4. EMERGENCY REPAIRS: In the event of an emergency affecting the System, the Solar Company shall have the right to access the Property without prior notice to perform necessary emergency repairs.

6.5. PROPERTY OWNER OBLIGATIONS: The Property Owner shall not interfere with, shade, obstruct, or damage the System or any of its components. The Property Owner shall promptly notify the Solar Company of any damage to or malfunction of the System.

7. INSURANCE

7.1. INSURANCE RESPONSIBILITY: Insurance for the System shall be the responsibility of the Solar Company.

7.2. REQUIRED COVERAGE: The responsible Party shall maintain, at a minimum:
    (a) Commercial General Liability insurance with minimum limits of $1,000,000 per occurrence;
    (b) Property insurance covering the System against damage from fire, wind, hail, vandalism, and other perils;
    (c) Workers' Compensation insurance as required by law for any personnel performing work on the Property.

7.3. Each Party shall name the other Party as an additional insured on its liability policies and provide certificates of insurance upon request.

7.4. PROPERTY OWNER INSURANCE: The Property Owner shall maintain homeowner's or property insurance on the Property and shall notify the Property Owner's insurer of the presence of the System on the Property.

8. PERFORMANCE GUARANTEE

8.1. The Solar Company guarantees that the System shall produce no less than eighty-five percent (85%) of the estimated annual energy production as specified in the system design documentation provided to the Property Owner (the "Guaranteed Production").

8.2. If the System fails to meet the Guaranteed Production in any given year (adjusted for weather variations and force majeure events), the Solar Company shall, at its option: (a) credit the Property Owner for the value of the shortfall in energy production; or (b) repair or upgrade the System to restore performance levels.

8.3. The performance guarantee shall be measured on an annual basis, with the first measurement period beginning twelve (12) months after the Commencement Date.

8.4. The Guaranteed Production shall be reduced by two percent (2%) for each five (5) years of the Agreement to account for normal panel degradation.

9. OWNERSHIP OF SYSTEM AND ENERGY

9.1. SYSTEM OWNERSHIP: The System, including all components, shall remain the sole property of the Solar Company throughout the term of this Agreement. The Property Owner shall have no ownership interest in the System.

9.2. ENERGY OWNERSHIP: All electrical energy produced by the System shall belong to the Property Owner for use on the Property. The Property Owner shall be entitled to all net metering credits, renewable energy certificates (RECs), and other environmental attributes generated by the System, unless otherwise agreed in writing.

9.3. TAX CREDITS AND INCENTIVES: Unless otherwise agreed, the Solar Company shall be entitled to claim all federal, state, and local tax credits and incentives associated with the ownership and installation of the System.

9.4. UTILITY INTERCONNECTION: The Property Owner shall maintain an active utility interconnection agreement throughout the term of this Agreement.

10. PROPERTY TRANSFER PROVISIONS

10.1. SALE OF PROPERTY: If the Property Owner sells or transfers the Property during the term of this Agreement, the Property Owner shall: (a) assign this Agreement to the new property owner as a condition of the sale; or (b) purchase the System from the Solar Company at fair market value.

10.2. NOTICE: The Property Owner shall provide the Solar Company with at least sixty (60) days' written notice prior to any proposed sale or transfer of the Property.

10.3. ASSUMPTION: Any successor property owner shall assume all obligations of the Property Owner under this Agreement, and the Solar Company shall consent to such assignment, provided the successor owner is creditworthy.

10.4. RECORDING: The Parties agree that a memorandum of this Agreement may be recorded in the land records of the jurisdiction where the Property is located, providing constructive notice to future purchasers.

11. TERMINATION

11.1. TERMINATION FOR DEFAULT: Either Party may terminate this Agreement upon sixty (60) days' written notice if the other Party materially breaches any provision of this Agreement and fails to cure such breach within thirty (30) days of receiving written notice of the breach.

11.2. TERMINATION BY PROPERTY OWNER: The Property Owner may terminate this Agreement early by paying the Solar Company an early termination fee equal to the remaining Monthly Lease Payments for the balance of the term, discounted at a rate of five percent (5%) per annum.

11.3. TERMINATION BY SOLAR COMPANY: The Solar Company may terminate this Agreement if: (a) changes in law or regulation make operation of the System commercially impracticable; (b) the utility terminates or refuses to renew the interconnection agreement; or (c) the Property Owner fails to maintain the Property in a condition suitable for System operation.

11.4. EFFECT OF TERMINATION: Upon termination, the Solar Company shall remove the System in accordance with the removal obligations set forth in this Agreement.

12. REMOVAL AND RESTORATION

12.1. Upon expiration or termination of this Agreement, the Solar Company shall, at its sole cost and expense, remove the System and all associated equipment from the Property within ninety (90) days.

12.2. The Solar Company shall restore the Property to substantially the same condition as it was prior to installation of the System, including repairing any roof penetrations, patching holes, and restoring surfaces.

12.3. If the Solar Company fails to remove the System within the ninety (90) day period, the Property Owner may remove the System at the Solar Company's expense, and the Solar Company shall reimburse the Property Owner for all reasonable costs incurred.

12.4. Prior to removal, the Property Owner shall have the option to purchase the System from the Solar Company at its then-current fair market value or depreciated book value, whichever is lower.

13. GENERAL PROVISIONS

13.1. GOVERNING LAW: This Agreement shall be governed by the laws of [Jurisdiction].

13.2. ENTIRE AGREEMENT: This Agreement constitutes the entire agreement between the Parties and supersedes all prior negotiations, representations, and agreements.

13.3. AMENDMENTS: This Agreement may only be modified by written agreement signed by both Parties.

13.4. SEVERABILITY: If any provision of this Agreement is held invalid or unenforceable, the remaining provisions shall remain in full force and effect.

13.5. NOTICES: All notices shall be in writing and delivered by certified mail or recognized overnight courier to the addresses set forth above.

13.6. FORCE MAJEURE: Neither Party shall be liable for failure to perform due to causes beyond their reasonable control, including natural disasters, acts of government, or utility outages.

13.7. INDEMNIFICATION: Each Party shall indemnify, defend, and hold harmless the other Party from all claims, damages, losses, and expenses arising from the indemnifying Party's negligence or breach of this Agreement.

13.8. DISPUTE RESOLUTION: Any dispute arising under this Agreement shall first be subject to good faith negotiation between the Parties. If not resolved within thirty (30) days, the dispute shall be submitted to mediation before resorting to litigation.

13.9. WAIVER: The failure of either Party to enforce any provision of this Agreement shall not constitute a waiver of that Party's right to enforce that provision in the future.


IN WITNESS WHEREOF, the Parties have executed this Solar Lease Agreement as of the Effective Date.


PROPERTY OWNER:

Signature: ____________________________
Name: [Property Owner Name]
Date: ____________________________


SOLAR COMPANY:

Signature: ____________________________
Name: [Solar Company Name]
Title: ____________________________
Date: ____________________________


---
This document was generated using https://www.thelawgpt.com