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FAQ - Lease Extension Agreement

What is the purpose of Lease Extension Agreement?
Lease Extension Agreement is a special type of lease that allows both parties to extend their lease in the same way. With Lease Extension Agreement, you can give a notice to the other party that you are extending your lease and that the date on which you have to pay rent or the amount of rent, which should be the same, will be extended. Lease Extension Agreement is a short-term contract, and during the time the landlord can extend it, the tenant can either apply to a judge for a rental arbitration if they are unhappy or move out of the house and get their own place. What is the difference between a lease and lease extension agreement? Lease Extension Agreement is a special type of lease that is used only in certain situations in which the tenant requests to extend their lease. What is the process of applying to a judge for a rental arbitration? In a rental dispute, tenants are often angry and do not like the rental agreement anymore. Since they do not like the agreement they may ask the landlord to extend the landlord's lease during a fixed period. If tenant agrees to this the tenant should apply for the rental arbitration. The application and the fees for arbitration are very high, but if the judge grants the tenant the application they have one-month period after their request to extend their lease. The tenant can move out in this period and get new place during which time they have to pay rent or lease renewal fees, however it will be the landlord's responsibility to extend the date of the rent or lease renewal. The judge should give a decision after the period of the lease or the rent or lease renewal fees has been paid. So, if the tenant has moved out then the rent should be continued. How to find out if there is an extension date on the lease or rental agreement To check the date on the lease or rental agreement, the following steps can be used: Go to the contract and pay the lease and all the fees. Get your landlord's notice of lease renewal. If any notice is given then go to a judge to ask for an extension.
Who should complete Lease Extension Agreement?
To obtain an Extension Lease from a property owner, the following are all required: Land use approval must have been obtained by the Property Owner within 12 months from the date of the previous purchase lease or demolition order. The Owner must agree to allow the Property Owner to install additional utilities to the Home if required. The Property Owner must be an Affiliate of the City of Calgary or Land Title agency. The Properties must have been located within a Conservation Area. The homeowners application must have been previously approved if the application is submitted in the form of a request for extension. The application has to be in the form of a separate submission. The application and its supporting documents must be filed with the Property Owner. This includes the applicant property owner's complete application form, any other required information, plus a property description, cost estimate, and any other information that is required to complete the application. The completed application can be delivered to: City of Calgary Planning and Development Services City of Calgary — Development Services Planning and Development Services 9th Floor 2nd Floor 201 – 300 16A Avenue S.W. Calgary, Alberta T2M 2B3 For further information please contact: City of Calgary DSP 250 — 10th Avenue S.W. Calgary, Alberta T2M 0E8 Email Please note, this is an estimate of the time and cost to complete a Lease Extension Agreement.
When do I need to complete Lease Extension Agreement?
This is a question that has been debated throughout the years, some businesses choose to add these to their tenant agreements, while others are adamant that you complete the Lease Extension Agreement before you start the renovation or remodeling process. The reality is that all construction projects require one to start the process in advance and if you don't, your entire tenant agreement will either not close on time or will become illegal in your local city. A good rule of thumb is, if you can't finish by the closing date you've agreed to (usually 30 days from the closing) then you need to get the entire project completed by the expected closing date. For example, let's say you have a building that is 3,000,000 square feet, but your tenant agreement says that the entire project has to be finished by January 1st, 2014. Your project should still close, your lease should be approved, and your tenant agreement should have your contractor's name and contact information in the front of the document, so your tenant can call the contractor if something goes wrong and the contractor answers their phone. However, if your project has to be delayed to meet the new closing dates for your lease, your tenant agreement will be voided and your rights to use your rent will be taken away. Here's another example of how an extension is important: If the building is being renovated in your building which occupies 100,000 square feet, and you want to renovate the property by renovating 100,000 square feet, and your contractor plans to install new heating and cooling equipment, then after the building is finished, the contractor is now responsible for paying the entire cost for installing the new property in your space. This is due to the extension agreement, you didn't get the final 2,500 they would have gotten if they only did the entire building. Additionally, if the building you are renovating is 50,000 square feet in size, and your lease states that the contractor will get all the 4,500 (the total cost of the building), then they will also be charged the additional 500 if the renovations will be done to all the existing units in the property which will add up until you are required to pay the entire cost of the remodeling.
Can I create my own Lease Extension Agreement?
Yes, you can (see below for more information). When I create a Lease Extension Agreement, can I add other conditions or conditions that could change my rights to use the property? Yes, you can add any conditions you want to the Lease Agreement you include with the Extension Agreement. How often can I use my Lease Extension Agreement? While leases are typically used for a fixed period of time (generally 2 years), some people choose to extend their lease agreements for various reasons — for example, to stay in the neighborhood longer before starting the move-in period. If your Lease Extension Agreement is for more than 2 years in length, you may want to set a review period (for example, 3 years) to allow your landlord time to process the changes you've made (for example, to add a security deposit or apply for a new tenant and property). Where are Leases and Extensions issued? We use various methods to process Lease Extension Agreements. For example, when we first process a Lease Extension Agreement, we send a letter stating the date you need to take the property back to the landlord. Your landlord will then have 72 calendar days to respond to your request (if your landlord sends a response, it is typically an initial Letter to Recipient, followed by a later Letter of Response or a Letter to the Owner). If your landlord does not respond to your request within 10 days of receiving it, we will apply to the court for an order (i.e., an Administrative Law Judge). If you do not receive a Court order, you will need to start the process over. If I don't follow a Lease Extension Agreement or a lease, can I end up with a rent increase from my landlord? No. However, if you stay with the landlord after you've reached the end of your lease, and the landlord then charges you for a service or facility that you weren't supposed to get, then you may be able to file a claim with the Tenant Protection Unit (the local Office of Tenant Advocate in the county where the property is located) for overcharging you. We are unable to answer questions about whether an extension agreement could affect or limit or even end the ability to file an overcharging claim with the Tenant Protection Unit as this is a personal matter where each individual tenant must do their own research to determine whether they have a case in which they should file an overcharging claim.
What should I do with Lease Extension Agreement when it’s complete?
After the extension is completed, if necessary, a final lease should be completed by your property management company who was on the lease extension team before leasing to you. What should my property managers do with Lease Extension Agreement? Your property managers (if any) should contact you to arrange for your vehicle(s) to be moved out of your leased property, either for storage or removal by its original owner (which may not be the property owner). Your property managers should ensure any lease extension lease agreements and/or storage/removal arrangements are clearly outlined with clear boundaries, when the vehicle(s) will be removed and what will follow as to storage, removal and or disposal. (Note: Lease Extension Agreement forms should be retained in good condition to ensure the property manager has the required information.) If your storage/removal arrangement is not set in stone, your property managers should ensure the agreement is clearly identified so that the property manager and vehicle owners are both covered in case there is, or should become any, unforeseen delays or expenses. It is good practice to have at least one property manager to monitor this situation to ensure the agreement is being followed and to ensure property owners and other parties are adequately protected. Should I give my property manager a copy of the lease extension agreement so that they are fully aware of all of my vehicle requirements, including the storage and removal requirements? Yes, this is a practical procedure which is a vital part of any lease agreement. Your property manager will need to be fully aware of your vehicle requirements so that they can ensure they have all the right documents if it is necessary to move your vehicle out of your leased premises. Your property manager will need a copy of your lease extension in a notepad for reference. Thereafter and unless the agreed upon terms have been met, the agreement is terminated as stated (unless at the end of your lease the terms of the contract are extended) and therefore no further storage or removal of your vehicle is needed at the property, and it is placed back into normal storage with all your other vehicle equipment. You are responsible for providing all documentation, including the original lease extension as the property manager will be notified and would need to sign off on it if it is applicable and valid. For more information click HERE.
How do I get my Lease Extension Agreement?
To initiate a lease extension, you can either complete a Lease Extension Request Form or call to complete a Lease Extension Request Form. If you choose to complete the lease extension request form online you simply fill out the request, email or fax it to our leasing department; they will call you back within 24-48 hours to confirm your extension request was completed. If you choose to complete the Lease Extension Request Form online you will need an email address, so use this address when you email the forms to your address. We are no longer able to email forms by fax. If you choose to request an extension you will receive notice that we need to send three documents to the other party requesting the extension. The initial lease agreement will be mailed to the other party notifying them of the extension request. The extension request form is mailed to both parties to confirm the date the extension expires.
What documents do I need to attach to my Lease Extension Agreement?
Please review the current Lease Extension Agreement document to familiarize yourself with our Lease Extension Agreement, which describes the information you must include and how you must respond to the requirements stated above. If you are a new or renewing owner of a property, you are required to submit the current Lease Extension Agreement form to the Division no later than five (5) business days before your extension date. If you are unable to submit the form before five (5) business days, you may request more reasonable time by submitting a Request for Extension Form. Do note that the Lease Extension Agreement forms have already been prepared for those who are renewing leases after June 1, 2011, and whose leases have terminated prior to February 28, 2014, or as part of the annual renewal package. Does my landlord or agent have to sign the extension agreement? No. As part of the written agreement in the extension agreement provided by the Division you may provide a handwritten signature to indicate agreement. Please note that the signature must be valid as of the effective date. As the written agreement is signed after you submit your lease agreement, the lease is considered final and any requests to extend the existing lease agreement must be submitted to the Division. What is a “final lease”? If you have an extension agreement with a landlord or real estate agent, you must submit your lease(s) as part of the final lease to ensure that any lease extensions, if any, are reflected on the date you submit your lease(s). The written agreement is in effect until the expiration of the specified period of time. What is “lease extension” and who qualifies? A lease extension is considered a renewal, which means your lease is automatically extended as long as you remain on the same premises. The lease extension will be added to your current rental charges and fees. If this is not the case, the lease will be “clipped,” or canceled, which means the landlord is not responsible for the charges that have been added to the existing charges, as long as you still remain on the premises and have the lease agreement submitted to the Division on your renewal date. A leased vehicle's lease renewals may change the lease's duration, such as extending the lease for a specific time period or making specific changes to the rental charge. What are the requirements for requesting a lease extension from your landlord through the Rental Unit Form? The Rental Unit Form is a mandatory tool the Division makes available under Section 7.
What are the different types of Lease Extension Agreement?
Most companies prefer to start with the long-term lease extension contract, which will be the length of the lease agreement. If you don't need the space immediately, then you will need to look at a short-term lease agreement. For example, a short-term lease typically will be for 30 days or less. A short-term lease can be signed any time and will stay until the end of the lease term. This can sometimes be beneficial for companies that would like to move quickly. However, if you are looking to leave the space immediately for a different location, a short-term lease extension contract would be best for you. What is the difference between a short term lease and a lease extension contract? Most lease extensions work on a monthly basis, giving you the flexibility and protection of knowing that you will have that lease available during your remaining periods or to the end of the lease term. For example, you would pay the monthly rent and the tenant would keep the furniture. In this situation, the term may only be one month on a monthly basis, meaning you can leave when you want, and you're not held to a lease term. That is typically the best arrangement for companies that might need to move quickly and take new clients to a new floor or office. In order to keep you updated regarding your remaining lease terms, your landlord or your leasing agent will give you an actual “expectation of term.” Why should I consider leasing on a month-to-month basis? If you are looking to extend your lease period, you're less likely to have a tenant move out early than you are to have all your rental properties all move in at one time, causing you to lose sales. This is especially important if you are looking to move into a new space that will require you to pay a large rental increase. On a month-to-month basis, you are not tied to the location of your tenant or rental property, which decreases the chances that you will have to make an expensive rental rent increase. Which types of Lease Extension Agreements can I have? Lease extension contracts can be signed in various languages, such as English, French or Hebrew. Your property's owner may even have the lease agreements in their own language, as they like to make sure that you are comfortable in that language. Leasing agreements may range from a simple month-to-month contract, to a long-term lease that allows for multiple rent increases.
How many people fill out Lease Extension Agreement each year?
A majority of our customers fill out an additional 5-8 pages per lease each year. Some leases have additional pages of conditions and/or requirements. What are the pros and cons to leasing instead of buying an apartment? Pros: Lower monthly payments. leaseholders have a lower monthly payment than the market value of the unit. More flexibility on the lease terms. Lower costs of maintenance. You are responsible for paying an extra 40-80 in maintenance fees per month for apartments leased through Lease Extensions or Lease Options with the lease. Cannot move out early. Some leases have termination dates. If you terminate early you are responsible for paying the balance of the lease and any early termination fees. More control over rent. Lessor will be able to increase the rent every year without your consent. This means you do NOT pay rent for the first months, then the owner raises the rent, then you start paying again for the month in the middle. You do NOT have rent charged once a year before the lease expires. No need to look for new housing. You can move immediately after signing the lease (without paying rent). Cons: Less security. Because tenants pay less for the apartment, some landlords don't need a security deposit anymore. What are the downsides to leasing an apartment? Most landlords prefer to contract with tenants to minimize risk. If the property doesn't meet all the terms they want, then they can take the loss on the lease instead of buying the property and selling it in the future. Because of this reason, many tenants prefer to lease over buying and then leave after receiving a good review and making a deposit. What kind of deposits are required for leases? No Security Deposit is required. There are varying amounts of annual charges on leases and for each condition (condo or apartment). These cost vary based on apartment type and tenant preference. Who makes the rent on a Lease? When you lease an apartment, the building will be the owner and tenant will be the tenant. However, not all apartment leases require this, some owners/tenants prefer to work with the renter, for example, leasing an apartment to a family with five children or asking a female tenant to pay a larger deposit to allow the family to move in easier.
Is there a due date for Lease Extension Agreement?
Yes, the notice of extension must be provided on the lease extension agreement if the tenant wishes to continue receiving rent payments on the lease. What is a written lease? A written lease is a contractual arrangement that outlines the terms and conditions of the lease that the parties are legally bound to. The landlord and tenants must agree on a lease before they can sign it before a landlord can take the lease. How do I fix a lease breach? Lease breaches occur when there is a significant change to the premises other than by the tenant moving out of the rental unit. A change in tenancy, which is a significant change in the terms of the lease, can be a situation where landlords must contact the Tenancy Tribunal to seek advice about taking appropriate action if they are not satisfied with the action taken by the tenant. The tenant, at their own cost, is allowed to pay an amount to cover the cost of the landlord's filing to the Tribunal. Can I terminate a lease that I have signed? Yes. Tenancy agreements can be terminated, subject to the requirements of law. The Tenancy Act sets out the rights and obligations of both the landlord and tenants. If either party wishes to end the tenancy, they must apply to the Tribunal for permission to terminate (Section 3). Can I change the terms of a lease? Yes. The tenant can alter, amend or delete the terms of the agreement with the landlord. A letter signed by both the landlord and the tenant sets out the proposed changes and can be the basis for a tenancy agreement. The changes must be agreed to by both the landlord and tenant and there can be a three-week notice period (Section 15a), a five-day notice period (Section 15b) or no notice at all (Section 15 m). Can I have roommates or sublet during a tenancy agreement? Yes. Tenancy agreements can also create “spare unit” rights for roommates or subletting. Spare unit rights allow roommates or subletting a room or spaces with the landlord's permission in return for reasonable compensation and reasonable notice. Tenancies do not need to be in residential buildings. Can I sublet or have roommates in a residential building? A tenant is required to have a reasonable amount of notice before subleasing a room or space with the consent of the landlord. No notice is required for a single person to sublet or roommates in a room.
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