Rent adjustments in commercial leases

We are pleased to announce that Stijn Claeys, has recently published an insightful article in the Journal of Justices of the Peace (Dossiers Tijdschrift van de vrede- en politierechters/ Les dossiers  du Journal des juges de paix et de police).

The Journal of Justices of the Peace organised a seminar in 2024 with a thematic number of the journal dedicated to new challenges of the commercial lease law.

Stijns article delves into the intricacies of rent adjustments within the framework of the Belgian Commercial Lease Act.

In this comprehensive piece, Stijn Claeys explores the contractual and legal mechanisms available for adjusting rent prices over the duration of a commercial lease, which can span up to 36 years. The article highlights the importance of incorporating adaptable pricing mechanisms in lease agreements to ensure they remain fair and reflective of market conditions over time.

Key topics covered include:

• The freedom of parties to determine the rent price and the implications of this autonomy.
• The distinction between rent and ancillary costs, such as taxes and maintenance.
• The legal provisions for rent revision under Article 6 of the Commercial Lease Act, allowing judges to intervene and adjust rent based on equity considerations at the end of each three years’ period.
• The rent revision upon the renewal of the commercial lease at the end of (each nine years’) term.
• The impact of new circumstances on rental value and the difficulties in establishing clear criteria for rent revision.

This publication is a valuable resource for both tenants and landlords, providing clarity on how rent adjustments can be managed legally and equitably.

The article offers practical insights and guidance to help clients navigate the complexities of rent adjustments and rent revisions.

For more information or to discuss how these insights might apply to your specific situation, please feel free to contact Stijn Claeys.