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How to Protect Commercial Lease Application

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This video tutorial provides an overview of commercial leases, focusing on essential lease structures, important clauses, and common delivery conditions. While you won't learn everything about commercial leases, you'll gain enough understanding to navigate the subject. Key topics include various lease structures, particularly the triple net lease, which is prevalent and requires tenants to pay base rent plus property taxes, building insurance, and common area maintenance. In this arrangement, tenants are responsible for all property-related expenses, leaving the landlord without those financial obligations.

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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.

How do you negotiate a new lease?

Evaluate your business needs. Do a little homework before negotiating a lease. Always involve a lawyer. Understand your costs. Understand your lease options. Check market rents. Research the property. Seek tenant inducements. Review termination conditions.

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.

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).

What questions to ask for commercial lease?

Questions to Ask When Viewing a Commercial Property What type of commercial lease is being offered? What is the minimum lease term? What amenities are included? What insurance coverage is required? How much parking is allotted to the renter? Is there room for expansion? Can you make changes to the office space layout?

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%.

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.

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.

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