Lease expiries: a practical planning guide for commercial landlords

1. Build an accurate lease calendar

Gather signed leases, amendments and relevant correspondence. Have the renewal provisions and notice requirements checked, then record the dates, responsible person and supporting document for each entry. Keep informal discussions separate from any formal step the agreement requires.

The City of Vancouver's lease negotiation guide highlights renewal and termination terms. For an existing tenancy, the task is to understand the agreement already in place. Do not assume every tenant has the same options, or that a standard reminder period is suitable for every lease. City of Vancouver: Commercial Tenant Resource Guide — Lease Negotiation.

2. Understand the business before proposing terms

Begin a practical conversation about how the premises are working. Ask about space needs, operating constraints, planned changes and concerns about remaining in the building. Record what is confirmed and what is still being considered without treating a conversation as a commitment.

Use the discussion to identify property questions you can investigate. If loading, layout or building services are causing difficulty, understand the issue before assuming the rent is the only obstacle. Some concerns may be addressable; others may make relocation the more practical outcome for the tenant.

3. Compare renewal with an alternative occupancy plan

Prepare a renewal scenario and a scenario in which the space becomes available, subject to the lease and legal advice. List the assumptions behind each: income, potential vacancy, marketing, professional costs, works and any proposed concessions. A comparison is useful only when its assumptions are visible.

Illustrative example: a tenant would consider staying if a layout issue can be resolved. Before offering to fund work, establish the scope, permissions, disruption and cost. Compare that proposal with the preparation that a new occupier might need. Neither option should be judged by face rent alone.

4. Coordinate decisions across the property

For a property with several occupiers, place the lease dates alongside planned maintenance and other commitments. Look for periods when multiple decisions or works may compete for cash and management attention. This is a planning exercise, not a reason to assume that a particular vacancy or renewal outcome will occur.

If you may sell, discuss how the timing of a proposed renewal fits the sale plan before making commitments. Provide accurate tenancy information to your real estate and legal advisers. A new lease can change what a prospective purchaser is evaluating, so consider the ownership objective as well as the immediate negotiation.

5. Document the outcome and maintain a fallback plan

Have agreed terms properly prepared and reviewed. Update the calendar, records and operational responsibilities once the documents are completed. Keep track of any conditions or work that still need to be satisfied; signing and being ready for the next phase are not necessarily the same event.

Where the outcome remains uncertain, keep alternative preparations proportionate and consistent with the tenant's rights. Clarify who will handle communication, access and any future marketing. The aim is to make deliberate decisions with enough information, without promising a universal lead time or an uninterrupted income stream.

Sources and further reading

• City of Vancouver: Commercial Tenant Resource Guide — Lease Negotiation

General information for commercial property decisions in Metro Vancouver and the Fraser Valley. Confirm property-specific requirements with the appropriate legal, financial and technical advisers.