Lease Extension

By | March 10, 0201

If a leaseholder continues to extend the lease period after the termination of stipulated time, then it is known as a lease extension. Lease extensions are usually extended for one month at a time and the process of extension comes along with certain charges. After six months or so, new continuation policies might be formulated.

Various factors needs to be considered for the extension of the lease and these are as following:

  • In the beginning, the lease extension is identified and the date on which it is penned down is written.
  • Then, the name and contact information of both the parties involved are to be listed in details.
  • The full address of the leased property is to be mentioned.
  • The duration up to which the lease holder wishes to extend the lease is to be mentioned. The fees to be paid for extension of the lease, if any, are to be stated here. Both the parties should acknowledge the terms and conditions set to make this lease extension successful.
  • Now, the landlord and the lessee would have to put their signatures and endorse the agreement.

The lease extension may be done by the lessor and the lessee for various different reasons. A lessee may be interested in extending the lease as he might found that the property is good and serving his needs whereas a lessor may agree to extend the lease as in this case he will not have to search for a new lessee which is quite a hassle task. Thus lease extension will prove to be beneficial for the lessee as well as the lessor.

Leave a Reply

Your email address will not be published. Required fields are marked *