Lease Expirations
Lease expiration refers to the date when a lease agreement between a landlord (lessor) and a tenant (lessee) comes to an end, and the tenant's obligations to pay rent and occupy the property cease. Upon lease expiration, the tenant usually has two options: renew the lease, often under new terms, or vacate the property.
Landlords must carefully manage lease expirations to ensure a stable rental income and minimize vacancy periods. This involves tracking lease expiration dates, maintaining good communication with tenants, and negotiating lease renewals or securing new tenants as needed. Properly managing lease expirations is crucial for maintaining the financial performance and value of a property.
Lease expiration is also an important consideration for tenants, as it determines the length of time they have the right to occupy the property and may affect their decision to invest in improvements or other long-term commitments related to the leased space.