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How to Manage Commercial Lease Notice

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In this video tutorial, viewers are introduced to the basics of commercial leases, focusing on common lease structures, important lease clauses, and delivery conditions. Key lease structures discussed include the triple net (NNN) lease, where tenants pay base rent plus property taxes, building insurance, and common area maintenance. This type of lease places the financial burden of property-related expenses on the tenant. The tutorial aims to give a foundational understanding of commercial leases, helping viewers gain essential knowledge without overwhelming them with jargon, so they can navigate the commercial real estate landscape more confidently.

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Here are some common questions from our customers that may provide you with the answer you're looking for. If you can't find an answer to your question, please don't hesitate to reach out to us.

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How does a tenant terminate a commercial lease?

A break clause is written into the commercial lease from the outset and allows a Tenant (and even a Landlord) to end a lease early by serving a notice on the other party.

Is there rent control on commercial property in Ontario?

The CTA does not regulate rent increases. Commercial tenancy agreements should specify the amount of rent charged and frequency of rent increases. If there is no tenancy agreement, the landlord can increase the rent by any amount at any time.

What is the commercial rent increase for 2023 Ontario?

The rent increase guideline for 2023 is 2.5%. The guideline is based on the Ontario Consumer Price Index, a measure of inflation calculated monthly by Statistics Canada that reflects economic conditions over a 12-month period (June to May).

Do you need to give notice to end a commercial lease?

Usually, the tenant can only leave at the end of a period (before the next payment of rent is due), but must give at least the amount of notice required in the lease (3 months if not contracted out).

What is the legal commercial rent increase in Ontario?

How Much Can Commercial Rent Be Raised in Ontario? Legally speaking, theres no limit on how much you can increase the rent by every year as a landlord. This not only applies to commercial properties but also to social housing units, nursing homes, and vacant residential units.

Can my landlord increase my commercial rent?

Know your rights. It is not unreasonable for a landlord to increase rent at the end of a tenancy. The amount could reflect inflation, a rise in property values, local demand for space or historically low rent being brought in line with surrounding properties.

What is the commercial rent increase for 2022 Ontario?

In Ontario, rent increases are governed by strict guidelines set by the provinces LTB. For 2022, this amount was fixed at a maximum of 1.2%, and for 2023 the maximum was 2.5%.

How long does it take to evict a commercial tenant in Ontario?

If the required notice is not specified in the lease, the Commercial Tenancies Act (Ontario) requires 15 days notice for rental bdocHubes. For other bdocHubes, even if the lease says no notice is required, give reasonable notice and time to cure before trying to terminate the lease. 2.

Can you evict a commercial tenant in BC?

Unless the lease requires the landlord to give the tenant notice, the landlord may be able to terminate the lease and evict the tenant if the tenant does not pay the rent on time.

What happens at the end of a commercial lease?

At the expiry of the contractual term under a protected lease, the tenancy continues (holds over) on the same terms until either party serves notice to bring the lease to an end.

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