Renewal Option
Gridlync land and infrastructure glossary.
A renewal option gives a tenant the right to extend a lease for an additional term under defined conditions, often within a notice window before expiration. Missing the window can forfeit the right to renew. The option usually specifies the renewal rent or a method to set it, the length of the extension, and a notice deadline the tenant must meet to exercise. Missing the notice window can let the lease expire even when the tenant intended to stay.
Renewal windows are deadlines with real consequences. Gridlync alerts teams ahead of every renewal option so none are missed.
Example
TowerLink’s lease with the Hoffman family includes two five-year renewal options at a 10 percent rent increase each, exercisable with 180 days’ written notice. TowerLink sends notice in month 54 to lock in the first extension.