Document background
The Option to Renew Commercial Lease agreement is a crucial document in Nigerian commercial property transactions, providing tenants with the security of a guaranteed right to extend their lease term while protecting landlords' interests through clearly defined conditions. This document is typically used when a commercial tenant seeks long-term security for their business location but the landlord prefers to grant the initial lease for a shorter term. It includes specific provisions compliant with Nigerian property law, including the Land Use Act and state-specific regulations, detailing the mechanism for exercising the option, notice periods, rent determination methods, and conditions for renewal. The agreement is particularly important in Nigeria's dynamic commercial property market, where businesses need to secure their operational locations while maintaining flexibility in their long-term commitments.
