Maintenance Responsibilities in Michigan Commercial Leasing
Discover how maintenance duties are allocated in Michigan commercial real estate, focusing on NNN leases, HVAC systems, and the structural divide.
Legal Disclaimer
This content is for general informational and educational purposes only. It does not constitute legal advice and should not be relied upon as such. Laws change frequently — always verify current regulations and consult a licensed attorney in your jurisdiction for advice specific to your situation. Landager is a property management platform, not a law firm.Information last verified: May 2026.
Unlike residential leasing in Michigan, where landlords are bound by the "implied warranty of habitability" (MCL 554.139), commercial leasing operates in a different legal environment governed by general contract law. In Michigan commercial real estate, there is no automatic implied warranty that the premises are fit for the tenant's particular business purpose. The entire maintenance relationship is dictated by the specific clauses drafted into the lease agreement. Disputes arising from commercial leases are heard in courts established under the Revised Judicature Act of 1961, which governs judicial organization and civil procedure.
Dividing the Property: Structure vs. Interior
If a Michigan commercial lease is completely silent regarding who paints the exterior or who fixes a broken toilet, assigning liability often requires expensive litigation. Therefore, well-drafted commercial leases explicitly divide the property along structural lines.
1. Landlord Maintenance Obligations
Typically, the landlord retains responsibility for maintaining the "Base Building" and the structural integrity of the property. For a multi-tenant office building or an industrial warehouse in Michigan, this usually includes:
- The foundation, concrete slab, and load-bearing columns.
- The structural walls and exterior facade.
- The building's original roof structure and waterproof membrane (though roof patching is sometimes pushed onto single-tenant NNN leases).
- Maintaining shared common areas (elevators, parking lot snow removal, landscaping) paid for via the tenants' Common Area Maintenance (CAM) reimbursements.
2. Tenant Maintenance Obligations
Conversely, the commercial tenant is generally responsible for everything from the interior walls inward, including any specialized equipment they install. This encompasses:
- Interior non-load-bearing walls and fresh paint.
- All specialized floor coverings (e.g., commercial-grade carpets, epoxy warehouse floors).
- Plumbing fixtures (toilets, sinks) located solely within their demised premises.
- Glass shopfronts and commercial exterior signage.
- Routine interior pest control and janitorial services.
The HVAC Battleground
In Michigan, the most frequent point of contention in commercial leasing revolves around the Heating, Ventilation, and Air Conditioning (HVAC) systems. Given the brutal Michigan winters, a failing heating system can completely shut down a retail business or freeze industrial pipes.
A meticulous lease must specify exactly who is responsible for the HVAC.
- The Routine Contract: Most leases force the tenant to enter into a biannual preventative maintenance contract with a licensed HVAC technician at the tenant's sole cost (e.g., replacing air filters, checking refrigerant levels).
- The Capital Replacement Fight: If a 25-year-old rooftop compressor physically dies beyond repair in year 4 of a 5-year lease, who pays the $30,000 replacement cost?
- A highly aggressive, pro-landlord absolute NNN lease will force the tenant to buy the brand new unit.
- A fairer, highly negotiated lease will require the tenant to perform routine repairs, but force the landlord to cover massive capital replacements at the end of the unit's lifecycle.
Snow Removal and CAM Charges In
Michigan, parking lot snow removal is a massive, highly variable seasonal expense. In a multi-tenant commercial property, the landlord typically signs the contract with the commercial plowing company, ensuring the entire lot is cleared before business hours.
The landlord then treats this massive expense as a Common Area Maintenance (CAM) charge, passing the actual cost down to the tenants proportionately based on their square footage. If a brutal winter causes snow removal costs to triple, the tenants' NNN estimated monthly payments will be severely underfunded, requiring the landlord to issue a massive "true-up" invoice during the year-end reconciliation.
Centralizing Commercial Portfolios
Delegating a burst pipe repair to either your landlord-preferred vendor or pushing it back to the tenant based on the exact wording of that specific unit's Net Lease is an administrative nightmare across a 50-unit industrial park. Landager digitizes your commercial portfolios, centralizing disparate lease clauses so property managers can instantly verify whether the tenant is liable for the roller door repair, and automatically deploy the correct commercial vendor if landlord intervention is contractually required.
How Landager Helps
Landager tracks lease terms, important compliance deadlines, and security deposit details - making it easy to stay compliant with Michigan regulations.
Sources & Official References
Frequently Asked Questions
▶What are the Michigan landlord-tenant laws every property owner should know?
Renting residential property in the state of Michigan requires strict adherence to a specific set of legislative acts, most notably the Landlord and Tenant Relationships Act (Act 348 of 1972) governing security deposits, and the Truth in Renting Act (Act 454 of 1978) governing lease clauses. This guide covers the essential compliance requirements for property owners and landlords.
Read the complete guide▶What is the Michigan eviction process and how long does it take?
The Michigan eviction process requires landlords to provide written notice to tenants before filing a court action. The type and length of notice depends on the reason for eviction — typically shorter for non-payment of rent and longer for lease violations or no-fault terminations. Self-help evictions (changing locks, removing belongings, shutting off utilities) are illegal in Michigan. The full court process varies but typically takes several weeks.
Read the complete guide▶What are the Michigan security deposit rules and return deadlines?
Michigan has specific rules governing how much landlords can charge for security deposits, how deposits must be held, and the deadline for returning deposits after a tenant moves out. Landlords must provide an itemized statement of any deductions made from the deposit. Failure to comply with deposit return deadlines can result in penalties and the forfeiture of the landlord's right to claim deductions.
Read the complete guide▶What are the Michigan rent increase laws and caps for landlords?
Michigan has specific rules governing when and how landlords can increase rent. During a fixed-term lease, rent generally cannot be increased unless the lease explicitly allows it. For month-to-month tenancies, landlords must provide proper written notice before an increase takes effect. Check whether Michigan has any local rent control ordinances that may impose additional caps or requirements.
Read the complete guide▶What is the grace period for late rent in Michigan?
Michigan has specific rules regarding grace periods for late rent and the amount that can be charged as a late fee. Late fee provisions must be stated in the lease agreement, and fees must be reasonable. Check Michigan state law and any applicable local ordinances for the exact grace period and late fee limits that apply to your rental property.
Read the complete guide▶What disclosures must Michigan landlords provide to tenants?
Michigan landlords must provide certain disclosures to tenants before or at the time of lease signing. Common required disclosures include lead-based paint hazards (for pre-1978 buildings, a federal requirement), the identity of the landlord or property manager, and any known material defects in the property. Additional state-specific disclosures may include flood risk, mold hazards, and environmental conditions.
Read the complete guide▶What are the Michigan lease requirements for rental properties?
Michigan recognizes both written and oral leases, though written leases are strongly recommended for terms longer than one year. Lease agreements should include the rent amount, payment due date, security deposit terms, maintenance responsibilities, and rules regarding entry, pets, and subletting. Certain lease clauses that waive tenant statutory rights may be void and unenforceable under Michigan law.
Read the complete guide▶What are Michigan landlord maintenance obligations and habitability standards?
Michigan landlords must maintain rental properties in a condition that is fit for habitation and complies with applicable building, housing, and health codes. This includes maintaining structural integrity, plumbing, heating and cooling systems, electrical systems, and pest control. Tenants typically have the right to request repairs in writing, and if repairs are not made within a reasonable time, tenants may have legal remedies available.
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