Commercial Lease Renewals: What Every Agency Needs to Know

O*NO! Missing Key Lease Renewal Details Could Cost Your Business Thousands! 

Renewing a commercial or retail lease should be a straightforward step. Keep your business running. Stay in your location. Continue trading. But here’s the catch—if you overlook key details in your lease renewal, that simple process can quickly turn into a costly headache (and a stressful one at that). 

As lawyers who handle leasing matters, we’ve seen too many business owners miss critical renewal deadlines, misunderstand rent reviews, or agree to new obligations without proper review—sometimes because they didn’t know better, and sometimes because they were in a rush to sign. 

In this blog, we’ll walk you through the key things every agency owner needs to know about commercial and retail lease renewals—and how to handle them properly. So, if your lease is coming up for renewal, this is your must-read guide. 

1. Know Your Renewal Rights and Deadlines 

Many commercial and retail leases include an option to renew, but it often comes with strict conditions and deadlines. Missing a renewal notice or failing to meet a specific timeframe can mean losing the right to stay in your premises. 

Tip: Check your lease carefully to understand when and how you must notify the landlord of your intention to renew. Mark these dates well in advance on your calendar. 

2. Review Rent Review Clauses 

Lease renewals often come with rent adjustments. Some leases tie increases to market rent, CPI, or other formulas. Not understanding these clauses can result in unexpectedly high rent. 

Tip: Review the rent review clause and, if needed, get an expert valuation. Negotiating the new rent before signing can save your business thousands over time. 

3. Reassess Your Obligations 

Renewal is the perfect time to check what responsibilities come with your lease, such as maintenance, insurance, and compliance with regulations. Landlords may include additional obligations in the new lease term. 

Tip: Compare your current lease obligations with the proposed renewal. Make sure you can meet all requirements and clarify any ambiguous terms. 

4. Consider Negotiating Better Terms  

A lease renewal isn’t just about extending the agreement—it’s an opportunity to negotiate. Perhaps you need more flexible hours, changes to outgoings, or additional rights like signage or storage. 

Tip: Approach your landlord early and come prepared with a clear list of what you want to adjust. Even small changes can have long-term benefits for your business. 

5. Seek Legal Advice Early  

Leases are complex legal documents, and renewal negotiations can be tricky. Waiting until the last minute can leave you with little room to negotiate or correct issues. 

Tip: Engage a leasing lawyer before the renewal period. They can review the lease, flag risks, and advise on negotiation strategies to protect your interests. 

Key Takeaways

• Don’t Miss Deadlines: Check your lease for renewal notice periods and mark them early.

• Understand Rent Reviews: Know how your rent can increase and plan your budget accordingly—consider negotiating caps if needed. 

• Check Your Obligations: Review maintenance, insurance, and compliance requirements to ensure you can meet them. 

• Negotiate Smartly: Renewal is a chance to improve terms, like flexible hours, signage, or outgoings. 

• Get Legal Advice Early: Consulting a leasing lawyer ensures you understand your rights, obligations, and opportunities to negotiate. 

Is your lease coming up for renewal? Make sure you handle it properly. If you’re unsure about the process or want to protect your business, speak with a leasing lawyer before signing anything.

Next Steps

If your commercial or retail lease is coming up for renewal, don’t risk costly mistakes. Reach out to our team at O*NO Legal by booking your free 10 minute call here.

We’ll review your lease, advise on your rights and obligations, and help you negotiate terms that protect your business. Book your free 10-minute chat today.

Frequently Asked Questions (FAQ)

• When should I notify my landlord about renewing my commercial lease?

  Check your lease for the renewal notice period—usually several months before the lease ends. Missing this deadline can risk losing your renewal rights.

• How are rent increases calculated during a lease renewal?

  Rent can be reviewed based on CPI, market value, or a formula in your lease. Always read the rent review clause carefully and consider getting an expert valuation.

• Can I negotiate my lease renewal terms?

  Yes! Renewal is a perfect time to adjust terms like rent, signage rights, hours of operation, or other obligations. Early negotiation gives you more leverage.

• Do I need a lawyer for lease renewals?

  It’s highly recommended. A leasing lawyer can review the lease, explain your rights, highlight risks, and help you negotiate better terms to protect your business.

Luke Shumack – Senior Lawyer, O*NO Legal

Luke Shumack is a Senior Lawyer at O*NO Legal with a Bachelor of Laws and a sharp focus on helping agencies and business owners stay compliant while scaling with confidence. Since starting his legal career in 2021, Luke has worked closely with real estate agencies, startups, and established businesses on privacy compliance, employment law, contractor agreements, mergers and acquisitions, and corporate governance. Known for his tech-savvy approach and love of efficiency, Luke blends legal precision with practical business strategy—making the complex simple for clients who want to move fast without risk.

Boring legal stuff: This article is general information only and cannot be regarded as legal, financial or accounting advice as it does not take into account your personal circumstances. For tailored advice, please contact us. PS - congratulations if you have read this far, you must love legal disclaimers or are a sucker for punishment.