Updated almost 6 years ago on . Most recent reply
Auto renewal with no terms.
Hello, I am in the process of buying an 8 plex. Out of 8 units, only one lease has been signed within the last year.
It looks like they are all expired except there is an auto renewal clause, but it has no terms.
It states “this lease agreement will be automatically renewed at the end of the stated lease period unless the parties give written notice of termination 60 days prior to the end of the lease.”
So, if there are no terms for the renewal, is this a valid lease? We want to raise the rents, but obviously we can’t if they are under a current lease. Thanks in advance.
Most Popular Reply
Auto renwal would put them on same terms. But if it ended in Dec 2018, so auto renewed to Dec 2019, you can still give them notice that come Dec 2019 you're going to offer NEW terms (obviously up to them to accept, counter, or move)