An annual rent increase is a standard component of many commercial lease agreements. This affects both tenants and landlords. But what exactly does it entail, and what should you pay attention to?
The annual increase in rent is not a legal right, but rather a contractual right. Therefore, a rent increase is only permitted if it is stipulated in the lease agreement. The lease agreement can stipulate when the rent will be increased and how the increase will be calculated. An annual increase is the most common.
Most commercial leases contain an indexation clause based on the CPI (Consumer Price Index), which is published by Statistics Netherlands (CBS). This means that the rent is adjusted annually according to inflation.
The legal consequences of rent increases are often greater than they appear at first glance. Unclear contract terms, incorrect indexation methods, or deviating agreements can lead to lengthy disputes. Engaging a specialized lease law attorney in a timely manner can provide clarity and certainty. Our lease law attorneys are happy to assist you.
As summer approaches, many landlords are raising rents. In this blog, attorney Cindy Luiten provides an overview of the most important rules and points to consider for properties in the private, mid-market and social housing sectors.
The Affordable Rent Act went into effect on July 1, 2024. The purpose of the Act is to improve the affordability of rental housing. The Act focuses on regulating rents for social and mid-range properties.
