The Lease Renewal Agreement is a crucial document used when parties wish to extend an existing lease arrangement in India. It is typically employed when the original lease term is approaching expiration and both parties agree to continue the rental arrangement. The document incorporates essential elements from Indian property law, including compliance with the Transfer of Property Act, state-specific rent control regulations, and registration requirements. The agreement details the extension period, revised rent structure, continuing obligations, and any modifications to the original terms. It serves both residential and commercial purposes and must be properly executed and registered as per Indian law when the renewal period exceeds 11 months. The document provides legal certainty while maintaining flexibility to update terms according to current market conditions and parties' requirements.
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1. Parties: Identification of the Lessor/Landlord and Lessee/Tenant with their complete details including names, addresses, and contact information
2. Background: Reference to the original lease agreement, its date of execution, current expiry date, and the parties' intention to renew
3. Definitions: Definitions of key terms used in the agreement, including references to terms defined in the original lease that continue to apply
4. Renewal Term: Specific details of the renewal period, including start date and duration
5. Rent and Payment Terms: Updated rent amount, payment schedule, and any escalation clauses for the renewal period
6. Continuation of Original Terms: Explicit statement of which terms from the original lease agreement continue to apply
7. Modified Terms: Clear specification of any terms that are being modified from the original lease
8. Security Deposit: Details of existing/additional security deposit requirements
9. Compliance and Registration: Requirements for registration, stamp duty, and other legal compliance matters
10. Execution: Signature blocks and execution requirements
1. Maintenance and Repairs: Include when there are specific changes to maintenance responsibilities or new requirements
2. Utilities and Services: Include when there are changes to utility payment responsibilities or new service arrangements
3. Insurance: Include when there are new or modified insurance requirements
4. Permitted Use: Include when there are changes to how the property may be used
5. Right of Further Renewal: Include when granting additional future renewal options
6. Guarantor: Include when there is a guarantor for the lease who needs to confirm continuation of the guarantee
7. Break Clause: Include when parties want the option to terminate the lease before the renewal term expires
1. Schedule 1 - Property Details: Detailed description of the leased property including address and boundaries
2. Schedule 2 - Rent Payment Schedule: Detailed breakdown of rent payments and escalation dates throughout the renewal term
3. Schedule 3 - Inventory List: Updated list of fixtures, fittings, and furniture if provided with the property
4. Appendix A - Original Lease Agreement: Copy of the original lease agreement for reference
5. Appendix B - Property Inspection Report: Current condition report of the property at the time of renewal
6. Appendix C - Modified Terms Matrix: Comparison table showing original terms versus modified terms for easy reference
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Property Manager
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Administrative Officer
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