Lease Term

The Lease Term specifies how long an occupant may use or occupy an asset, spanning from start to end dates. Structured in months or years, it outlines occupant responsibilities (like rent) and owner duties (like maintenance). Some agreements lock parties into fixed durations, while others incorporate renewal clauses or break options.

Key Points:

• Fixed or Rolling: Could remain static or auto-extend periodically.
• Negotiation: Parties typically balance occupant needs versus owners’ preference for stability or frequent rate adjustments.
• Early Termination: Certain deals allow occupant departure, possibly incurring fees.
• Transition Planning: Clear lease term helps occupant schedule moves or expansions.

Solid lease terms reduce confusion, letting occupant and owner plan finances around predictable durations. Knowing the exact timeframe also supports smoother handovers or subsequent occupant replacements.