Trade Fixtures

There is a major exception to the rules above when dealing with Commercial Real Estate. This is called a Trade Fixture.Definition: An item installed by a commercial tenant to conduct their business.The Rule: Even though they are attached, Trade Fixtures remain Personal Property of the tenant.The Requirement: The tenant must remove them before the lease expires and must repair any damage caused by the removal.Example: The Pizza Shop. A tenant rents a space for a pizza shop. They bolt huge pizza ovens to the floor and screw booths into the wall.Residential Rule: Those would be fixtures and belong to the landlord.Commercial Rule: Those are Trade Fixtures. When the pizza shop moves out, they take the ovens and booths with them.