Automatic Lease Renewal Clause

[Ryan Ahlgrim]

I’m always interested in ways to streamline my processes and systems. Lately I’ve been debating what is the ideal length of time for a lease that provides the landlord with stability but doesn’t lock them in for too long, in case the tenant turns into a problem. Right now I like the idea of a 6 or 12 month lease with an automatic lease renewal clause for the same amount of time unless the tenant or landlord submit a notice prior to the lease term ending.

What has been landlords experience including an automatic lease renewal cause in their lease agreements?

-Are they legal enforceable?

-Have they ever come back to bite you in some unforeseen way?

-What’s the actual clause wording you include in your agreement?

Thanks!