Option to Renew

An "Option to Renew" is a contractual clause that allows one party, usually a tenant in a lease agreement, to extend the duration of their contract for an additional period under specified terms. This means when the original agreement is nearing its end, the party can choose to continue the arrangement without needing to renegotiate. Typically, this option must be exercised by a certain deadline and can provide stability and predictability for both parties, ensuring that the tenant can stay in place without having to find a new location immediately.