Greece Commercial Maintenance: Who Pays for HVAC?

Governed primarily by the Greek Civil Code (effective 1 January 1946) and the specialized provisions of Presidential Decree 34/1995 (amended by Law 4242/2014), determining the allocation of repair and maintenance costs is a critical contractual element in Greek commercial and industrial leases.

1. The Fallback: What the Civil Code Says

(If the Contract is Silent)

If the Lease (New Law)Preview unavailable does not explicitly allocate maintenance duties, the Greek Civil Code (Articles 574-618) provides default obligations for both parties.

• Landlord's Duty: Under Article 575 of the Civil Code, the landlord must deliver the property in a suitable condition for the agreed use and maintain it in that condition. Furthermore, Article 591 stipulates that the landlord must reimburse the tenant for 'necessary expenses' incurred for the property's maintenance, such as structural repairs, roof leaks, and the replacement of central HVAC systems.
• Tenant's Duty: Under Article 592 of the Civil Code, the tenant is not liable for ordinary wear and tear resulting from the agreed use. The tenant is generally only responsible for operational consumables and minor day-to-day maintenance related to their specific business activities.

While the Civil Code provides these default statutory rules, Article 361 establishes the principle of freedom of contract. In the commercial sector (B2B), it is standard legal practice for landlords and tenants to negotiate contracts that reassign the majority of these maintenance duties to the tenant.

2. Shell & Core and Custom Fit-Outs

A common practice in large office complexes is the Shell and Core model. The landlord provides the structural framework (shell) and the primary circulation areas (core), while the tenant assumes responsibility for the interior fit-out.

• The Setup Cost (Fit-Out): The tenant typically bears the full cost of installing the necessary interior infrastructure, such as IT wiring, partitions, flooring, and dropped ceilings.

Regarding maintenance under such agreements:

1. Contractual Reallocation: The lease agreement typically includes a clause modifying the default provisions of the Civil Code (Article 575) based on the principle of freedom of contract (Article 361). In commercial 'Shell and Core' or 'Triple Net' (NNN) agreements, it is standard for the tenant to assume responsibility for HVAC maintenance, internal repairs, and insurance.
2. Structural Duty: The landlord generally retains responsibility for structural elements (steel and concrete reinforcements), exterior facades, and roof insulation. Financial responsibility for all internal machinery and specialized systems falls to the tenant.

3. Departure and Dismantling

Commercial leases in Greece frequently include specific provisions regarding the end of the term, particularly when the commercial contract expiresPreview unavailable. When a tenant installs substantial fixtures or equipment:

• Retention Clause: The contract may state that improvements and additions remain with the property to the benefit of the landlord, without compensation.
• Restoration Clause: Alternatively, the contract may explicitly grant the landlord the right to require the tenant, at their own expense, to dismantle any custom installations and restore the premises to its original condition upon departure.

These contractual terms are typically secured by a commercial security deposit or bank guaranteePreview unavailable provided at the initiation of the lease to ensure compliance with restoration obligations.

Substantive Legal Guidance in Greece

Detailed guide on 'A-work', 'B-work', and 'C-work' categories which are becoming standard in modern Greek office park leases. This is critical because Greek courts historically prioritize the 'stability of commercial tenure' while providing accelerated tools for landlords in cases of definite non-payment. Failures to accurately register leases on the myAADE portal can lead to your legal actions being dismissed and may result in heavy fines from the AADE tax authority.

Compliance Strategy for Greece Property Owners

Managing a rental portfolio in Greece requires a blend of digital compliance (myAADE) and traditional legal procedures (Exodiko). Owners must ensure that the 'Declaration of Lease Information' (Δήλωση Πληροφοριακών Στοιχείων Μίσθωσης) is submitted electronically via the myAADE portal by the end of the month following the month in which the lease commenced or was modified (per AADE Circular POL 1162/2018 and Decision A. 1139/2020). Tenants must then 'accept' or 'reject' the declaration within 30 days of its submission. Also, tracking the 3-year statutory minimum (Law 4242/2014, Article 13) is essential, as it is a mandatory minimum duration for all new commercial leases, even if the written agreement specifies a shorter term. Landager's specialized Greek compliance engine automates these reminders and provides a secure vault for mandatory certificates like the Energy Performance Certificate (PEA), required for registration under Law 4122/2013, and the Electrical Safety Certificate (YDE) for safety compliance and utility connections, ensuring you're always ready for an inspection or a new tenant onboarding process.

How Landager Helps

Landager tracks lease terms, CAM fee audit tools, and structural asset tracking - making it easy to stay compliant with Greece regulations.

Back to Greece Landlord-Tenant Laws OverviewPreview unavailable.