Rent Abatement

Rent abatement refers to a provision that may be included in a lease agreement where the tenant is allowed to stop making rent payments for a specified period of time. This could occur under several circumstances:

As an incentive to attract tenants: Landlords may offer a period of reduced rent or free rent at the beginning of a lease to attract tenants. This is common in commercial leases and is sometimes known as a rent-free period.

During repairs or renovations: If a rented property becomes uninhabitable or inaccessible due to necessary repairs, renovations, or improvements, the tenant might not have to pay rent during that period.

After a disaster: If a property is damaged by a disaster, such as a fire or flood, the lease may allow the tenant to stop paying rent until the property is repaired.

The specific terms and conditions of rent abatement are usually specified in the lease agreement. It's important for both landlords and tenants to understand these provisions. For tenants, it provides potential financial relief. For landlords, it can be a cost of doing business that needs to be budgeted for.