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Texas Commercial Landlord-Tenant Laws: Property Owners Guide

Comprehensive overview of Texas commercial property laws including security deposits, eviction procedures, lease requirements, and maintenance obligations.

Melvin Prince
6 min read
Verified May 2026United States flag
TexasCommercial-leaseLandlord-tenant-lawCommercial-propertyProperty-management

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.

Founded on the property rights established by the Texas Constitution of 1845 (effective December 29, 1845), Texas commercial landlord-tenant relationships are governed primarily by the Texas Property Code Chapter 93 (effective January 1, 1984) and the terms of the lease agreement itself. Unlike residential tenancies, commercial leases in Texas offer much greater freedom to negotiate terms — but they also come with fewer statutory protections for tenants and some unique landlord remedies, including the statutory right to lock out tenants for nonpayment.

Key Texas Commercial Lease Laws at a Glance

TopicKey RuleStatute
Security DepositNo statutory cap; 60 days after surrender and forwarding addressProperty Code §93.005–93.011
Eviction Notice3-day default (unless lease specifies otherwise); statutory lockout rightProperty Code §93.002, §24.005
Rent IncreasesNo limits — governed by lease termsN/A
MaintenancePrimarily governed by lease agreementVaries
Landlord's LienStatutory lien on tenant's property for rentProperty Code §54.021
Utility InterruptionProhibited (with exceptions)Property Code §93.002

Security Deposits

Texas imposes no statutory cap on commercial security deposits. The deposit amount is typically negotiated between the landlord and tenant based on factors like the tenant's financial standing, lease term, and property type.

The landlord must return the deposit within 60 days after the tenant surrenders the premises AND provides a written statement of the tenant's forwarding address. The landlord is not obligated to return the deposit or provide an itemized list of deductions until the tenant provides the forwarding address in writing (§93.005, §93.009).

For more detail, see our Commercial Security Deposits guide.

Eviction and Lockout

Commercial evictions follow a similar process to residential evictions — a written notice to vacate, followed by a forcible detainer suit filed in the Justice Court (Justice of the Peace) of the precinct where the property is located (Property Code §24.004). A landlord must give at least three days' written notice to vacate before filing the suit, unless the parties have contracted for a shorter or longer notice period in a written lease (§24.005).

However, Texas law provides commercial landlords with a unique statutory right to lock out a tenant for nonpayment of rent (§93.002). This right exists regardless of lease language unless the lease explicitly prohibits or modifies it. At the time of the lockout, the landlord must post a written notice on the tenant's front door stating the name and contact information of the individual or company from which the new key may be obtained. The landlord is required to provide the new key ONLY during the tenant's regular business hours and ONLY if the tenant pays the delinquent rent.

For more detail, see our Commercial Eviction Process guide.

Lease Structure

Commercial leases in Texas are highly negotiable and may take several forms:

  • Gross Lease — landlord pays all operating expenses
  • Net Lease (N) — tenant pays some operating expenses
  • Double Net Lease (NN) — tenant pays property taxes and insurance
  • Triple Net Lease (NNN) — tenant pays taxes, insurance, and maintenance
  • Modified Gross — expenses are shared based on negotiated terms

The lease agreement is the primary governing document, and courts will generally enforce it as written.

For more detail, see our Commercial Lease Requirements guide.

Maintenance and Repairs

Unlike residential tenancies, Texas law does not impose a statutory habitability standard on commercial landlords. Maintenance responsibilities are almost entirely determined by the lease agreement.

For more detail, see our Commercial Maintenance Obligations guide.

Landlord's Lien

Texas grants commercial landlords a statutory lien on a tenant's property located on the premises (Property Code §54.021). This lien:

  • Secures rent that is due and rent that is to become due during the current 12-month period succeeding the start of the lease or its anniversary
  • Attaches when the tenant's property is placed on the premises
  • Can be enforced through a distress warrant issued by a justice of the peace if the tenant owes rent, is about to abandon the building, or is about to remove property
  • Does not apply to exempt property under Texas law

Rent and Late Fees

Commercial rent terms and late fees are governed entirely by the lease agreement. There are:

  • No rent control provisions
  • No statutory grace period for late payments (unlike residential)
  • No statutory limits on late fee amounts

For more detail, see our Commercial Late Fees and Commercial Rent Increases guides.

Required Disclosures Commercial

landlords have far fewer mandatory disclosures than residential landlords. Properties built before 1978 are exempt from federal lead-based paint disclosure requirements for commercial tenancies.

For more detail, see our Commercial Required Disclosures guide.

Getting Started with Commercial Compliance

Managing commercial properties in Texas requires careful attention to lease drafting, security deposit handling, and understanding your rights as a landlord. Landager helps commercial landlords track lease terms, manage deposits, and stay on top of deadlines.

Comparison

Residential (Ch. 92)

VS

Commercial (Ch. 93)

How Landager Helps

Managing Texas commercial properties requires strict adherence to the Texas Property Code Chapter 93, especially regarding the mandatory 60-day security deposit return deadline triggered by surrender and receipt of a written forwarding address (§93.005, §93.009). Unlike residential tenancies, commercial leases are not subject to the statutory late fee caps or grace periods found in Chapter 92, placing higher importance on precise lease drafting and Justice Court procedure. Landager automates these timelines, ensuring your deposit itemizations are delivered on time and your notices to vacate comply with Chapter 24 requirements.

Explore more Texas commercial compliance topics:

Frequently Asked Questions

What are the Texas landlord-tenant laws every property owner should know?

Texas rental law is governed by Property Code Chapter 92 for residential and Chapter 93 for commercial properties. Texas is one of the most landlord-friendly states — there's no rent control, no statutory cap on security deposits, and a streamlined 3-day notice eviction process. However, landlords still face strict obligations around habitability, security devices, and tenant disclosures under the Property Code.

Read the complete guide

What is the Texas eviction process and how long does it take?

Texas eviction begins with a written Notice to Vacate — the default period is 3 days, though the lease may specify a different timeframe. After the notice expires, landlords file a forcible detainer suit in Justice Court. Under SB 38 (effective January 2026), electronic notice delivery is now permitted if agreed upon in the lease, constables must attempt service within 5 business days, and tenants have a 21-day appeal limit. The full process typically takes 3-6 weeks.

Read the complete guide

Is there a security deposit limit in Texas?

No. Texas does not impose a statutory limit on security deposit amounts — landlords can charge whatever the market allows, though most charge one to two months' rent. Deposits must be returned within 30 days of the tenant surrendering the premises, with an itemized statement of any deductions. Since September 2021, landlords may also offer a monthly fee alternative in lieu of a traditional deposit.

Read the complete guide

Does Texas have rent control or caps on rent increases?

No. Texas state law prohibits local governments from enacting rent control ordinances. Landlords can raise rent by any amount at the end of a lease term. During a fixed-term lease, rent cannot be increased unless the lease explicitly allows it. For month-to-month tenancies, 30 days' written notice is generally required before an increase takes effect.

Read the complete guide

What is the grace period for late rent in Texas?

Texas mandates a 2-day grace period under Property Code §92.019 — landlords cannot charge late fees until rent has been unpaid for 2 full days after the due date. Late fees must be reasonable and stated in a written lease. For properties with 4 or fewer units, the cap is 12% of monthly rent; for larger properties, it's 10%. Late fees may include an initial charge plus a daily fee, but the total is treated as a single late fee.

Read the complete guide

What disclosures must Texas landlords provide to tenants?

Texas landlords must disclose lead-based paint hazards (pre-1978 buildings), flood risk including 100-year floodplain status and whether the property has flooded in the past 5 years (since 2022), the identity and address of the landlord or agent, parking and towing policies for multi-unit complexes, tenant repair remedies in bold or underlined text, and early termination rights for family violence or military deployment.

Read the complete guide

What are the Texas lease requirements for rental properties?

Texas recognizes both written and oral leases, though oral leases are only enforceable for terms of one year or less. Written leases must include late fee policies, tenant repair remedies (in bold or underlined text), security deposit terms, and landlord/agent contact information. Landlords must provide tenants with a signed copy within 3 business days of execution.

Read the complete guide

What are Texas landlord maintenance obligations and habitability standards?

Under Property Code §92.052, Texas landlords must repair conditions that materially affect the physical health or safety of an ordinary tenant, including plumbing, electrical systems, heating and cooling, roof leaks, security devices (deadbolts, window latches), pest infestations, and mold. Tenants can use the 'repair and deduct' remedy after giving written notice and waiting 7 days, with deductions capped at one month's rent or $500, whichever is greater.

Read the complete guide
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