Complete guide to renting commercial property in Spain

If you're expanding into Spain, renting a commercial property is one of the first practical steps. Buying is rare at the early stage, especially for businesses setting up or testing the market.

This guide explains how renting works in Spain. We’ll walk through lease types, local legal terms, rent costs, insurance, and the steps to sign a lease that works for your business.

We’ll also show you a smarter way to handle your international payments. With a Wise Business account, you can hold and manage 40+ currencies, including EUR and GBP, from one place.

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Types of commercial leases in Spain¹

In Spain, there is no single kind of commercial lease. The contract you will sign depends on the location of the property and business type. However, some different categories are recognised by Spanish law and have their own rules and standard terms.

Key things to know about commercial lease agreements in Spain

Commercial leases in Spain are guided more by what the landlord and tenant agree than by strict legal rules. Unlike residential leases, there’s no assumption that the tenant needs special legal protection. Both sides are expected to negotiate on equal footing.

Still, the law includes a few basic requirements. These are handled in the Urban Leases Act (LAU), and if something isn’t covered there, the Civil Code steps in.²

Here’s what to keep in mind when renting commercial property in Spain.

You’ll need to pay a deposit

By law, you must pay a deposit (fianza) of two months’ rent. This has to be in cash, and your landlord must return it within one month of the lease ending, if everything is in order.³ If they delay, they’ll owe you interest. In most regions, the deposit has to be registered with the local authority.

Your landlord might ask for extra guarantees

Aside from the mandatory deposit, your landlord can also request additional guarantees. These could be:⁴

• An extra cash deposit (commonly up to six months’ rent)
• A bank guarantee, where the bank promises to cover your obligations
• A guarantor, like a director or a company in your group

You can also try negotiating not to provide any extras. There’s no legal limit on this so it’s up to both parties to agree.

You’ll be responsible for minor repairs

You’re expected to carry out small repairs and maintenance.⁵ If you wish to make larger changes or renovations, you will require the written permission of the landlord.

However, the landlord is required to fix major building improvements or safety upgrades. They may even increase your rent to cover the expenses in certain situations.² But if those works make the property unusable, you can suspend or even end the lease without paying penalties.

You can sublet or assign the lease

You don’t need permission from your landlord to sublet the property or assign the lease to another person. However, you must write to notify them. If you sublet part of the property, your landlord can raise the rent by 10%. If you assign the lease or sublet the whole space, they can increase it by 20%.⁶

You have rights if the property is sold

If the landlord sells the building, your lease doesn’t just disappear. You can keep your place on the same terms, unless your lease says otherwise.⁷ You can also buy the property before it’s sold to someone else.

Your landlord can end the lease early for breach of contract

If you sign a fixed-term lease, your landlord can only end it early if you seriously breach the contract. This might include not paying rent, failing to update the deposit, or using the property in a way that breaks the law or your lease terms.

If this happens, your landlord can take legal action to repossess the property. The court process starts with a written claim. You’ll have ten days to respond. After that, a court hearing is usually set within a month.⁸

Do I need insurance to rent a commercial property in Spain

There’s no fixed rule on who insures what. What’s covered and who pays depends on what is written in your lease.

Most landlords expect you to cover the contents. That means furniture, equipment, stock, and anything else inside. You may also be asked to insure your business activities.

Here’s what usually shows up:⁹

• All-risk property insurance: For things like fire, water damage, theft, smoke, or explosions.
• Civil liability insurance: If someone gets hurt or property is damaged because of your business, this covers you.
• Business interruption insurance: If you need to close for repairs after a fire or flood, this can help with lost income.
• Building reinstatement cover: In some cases, you’ll be expected to insure the full rebuild cost of the premises.

Ask what’s already in place before signing anything. In shared buildings, the landlord may already have some cover and pass the cost on to you.

How to rent a commercial property in Spain – step-by-step

Renting a commercial property in Spain is not a complex process, but it has some formalities. The process typically works as follows:

• Register your company in Spain: You’ll need a tax number, NIF (for individuals) and CIF and incorporation documents (for companies).¹⁰ Landlords and agents will need these.
• Decide what you need: Consider the location, type of property, and legal zoning of the property to your business. You will also have to look at your budget and the duration you intend to stay.
• Gather your documents: Landlords normally require ID, evidence of funds or bank guarantees, company registration, and even a business plan in case you are new in the market.
• Hire a broker: They will assist you to get the right property, bargain on your behalf and verify whether the area is fit to your kind of business.
• Negotiate with the landlord: This comprises rent, lease term, type of use, deposit and any type of fit-out work or repairs.
• Get legal advice: Hire a lawyer to verify that the lease is valid and that your rights are not violated. Spanish leases are generally biased towards landlords, and therefore it is advisable to have someone by your side.
• Sign the lease: Ensure that all the terms agreed upon are in the contract. Spanish law states that two months’ rent is needed to deposit, and additional guarantees may be demanded by other landlords.
• Pay the deposit and initial rent: This may come along with VAT charges.
• Prepare your insurance: The majority of leases include tenant liability cover and some include property or contents cover as well.
• Register the lease if it’s long-term: This isn’t mandatory, but it can protect your rights if the property is sold in the future.

What documents do I need?

You typically need the following documents:

• Valid ID or passport
• NIE (Foreigner Identification Number)
• Company registration documents
• Bank guarantee or proof of financial standing
• Signed lease agreement
• Proof of deposit payment

How much does commercial property cost to rent in Spain

Commercial rent in Spain varies a lot depending on where you search. For example, in the south, listings range from as low as €0.28 per m² (for Calle Mayor, Roldán, Torre) to over €62.50 per m² in prime Málaga locations.¹¹ A coastal town like Fuengirola might offer 100 m² retail units for around €7 to €13 per m² per month. These figures give you a sense of what you might pay, depending on location and condition.

Other costs to consider

• Two months’ rent as a deposit
• You’ll need to arrange your own insurance
• Utilities and local taxes are charged separately
• Legal or notary fees may apply, especially for lease registration
• Some landlords request a bank guarantee alongside a deposit

Can UK citizens rent commercial property in Spain?

There’s no Spanish law preventing UK citizens from renting commercial premises. You must still follow standard requirements like registering for an NIE (Foreigner Identification Number), setting up a tax number if needed, and complying with local licensing rules.¹²

Top tips for office and commercial renting in Spain

These tips will help you to avoid common mistakes:

• Ensure that the landlord has the right to lease the property legally- request him to provide evidence of ownership or power of attorney in case you are dealing with an agent.
• Have the lease translated by a professional translator or a bilingual solicitor if it's written in Spanish.
• Negotiate key terms in advance in the Heads of Terms document. Include rent, deposit, lease term, break clauses, and repair or insurance.
• Ensure that you sign only with the appropriate local licences and permits of your business. This may differ based on the location and nature of your business.
• Clarify tax responsibilities, especially if you’re a non-resident.

Grow your business in Spain with Wise Business

While you’re looking to launch your business in Spain, it’s also worth making sure you’re set up with the right business account.

Open a Wise Business account and you can hold and exchange at once. It’s quick and easy to open an account in Ireland, with a fully digital application, verification and on-boarding process. Check out the requirements here.

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• No ongoing fees, minimum balance requirements or foreign transaction fees
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• Integrate with your favourite cloud accounting solutions
• Use the powerful Wise API for automation and streamlining workflow
• Take advantage of Wise Interest to make your funds work harder when you’re not using them (capital at risk).

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Sources used

Sources last checked: 24-Sept-2025