Increasing Rent on Tenants: Dispatch
When is the official letter to increasing rent on tenants? What does the text of the letter to increase office rent usually refer to? What is the way to handle the letter of autonomy for the lease? Let us answer all of these.
What are the factors that affect office rental prices of increasing rent on tenants?
Before going into the content of the letter to increase office rent, let’s learn about the factors that affect the rent!
There are quite a few factors that will affect the price of your office rental such as:
Compare the difference between rental source and rental source
One of the first reasons why you have to receive a letter of increase in office rent is this. The fact that our country is developing more and more according to the trend of stable macroeconomics. The strong and steady growth rate over the past time is something no one does not realize.
And these are the same things that make the demand for office rental or office rental increase. Small and medium enterprises are increasingly in need of company expansion. Or young people starting a startup also have a need to rent an office
At the same time, the planning of urbanization in our country is having problems in big centers. Due to the lack of depth, there is not much land available to build offices. On the other hand, loading and crashing cars in central areas are hot spots. It is not possible to obtain permits for the construction of rental offices. This leads to an increasingly short supply of office space for rent in the market.
Office owners in many places see these things. Because I want to increase profits, my income also increases the office rent. This makes many businesses confused in the process of renting an office. However, quite a few businesses still have to accept the notice of an increase in office rent from the landlord because the rental space is limited, and finding a good place to rent is not easy nowadays.
Due to the sharp increase in the USD exchange rate
One of the next reasons for the official letter to increase office rent is due to the strong increase in the USD exchange rate. When the USD exchange rate increases sharply, the Vietnam dong tends to depreciate. This is because the Fed raised interest rates and inflation in our country increased.
Therefore, office rents are on the rise in recent years.
Due to the real estate market and the startup movement
The real estate market in recent years has also greatly influenced office rents. Because the price of buying and selling in the market increased sharply. This leads to an increase in investment and home-buying costs. In addition, other costs such as construction costs also tend to increase. This makes buying and construction demand difficult. And that is also the reason that makes the output price and office rent inevitably increase over time.
The startup movement is also booming today. The number of enterprises in the country is increasing year by year. Meanwhile, the number of offices for lease has not increased much over the years. This caused the landlords to send an official letter to increase the office rent over the years. Supply is not enough to meet demand, of course, the price will increase every year.
Due to the improved rental service quality
In case, when there is a reasonable rental price for the services provided by the lessor. At this time, the office management staff will consider whether the tenant agrees or not. Then if the service gives the customer great things. The service provided to customers quickly and promptly will have to bring the lesser worthy value.
In fact, there are many businesses that do not want to pay a price other than the contract. However, compared to the benefits that businesses have, paying the extra fee is also completely worth it. At this time, the lessor will also send an official letter to increase the office rent to the lessee.
What are the contents of the letter about office increasing rent on tenants?
The official letter to increase office rent will usually appear when the landlord wants to increase and has agreed on legal grounds.
The letter must include the following information:
The name of the dispatcher, the information about the dispatcher.
Contents of the office lease contract, the number of leased areas, and the rental and service fees.
The content of the proposal to increase office prices from time to time… What is the reason for this proposal and official letter?
How much is the increase in office rent/month/year?
What terms in the contract was the dispatch based on? What legal bases were the dispatch based on?
Agreement and signed by both parties if agreed.
If the landlord increases the price on his own without an official letter to increasing rent on tenants, how to handle it?
The landlord arbitrarily increases the office rent without having an official letter to increase the office rent, what should it be?
Continue to rent
In case the lessor arbitrarily increases the price but the lease term has not expired, the lessee may continue to rent the document. And the tenant is responsible for the implementation of the provisions in the contract. And the landlord must also comply with the provisions already in the contract.
If you arbitrarily increase the rent without written notice, you must negotiate again. The two parties sit down to agree on each other’s laws. And go to sign the document when both parties have agreed.
Termination of office lease without compensation
In the worst case, you can unilaterally terminate the office lease contract.
The Civil Code provides:
During the office lease term according to the agreements already in the contract. The lessor or the lessee cannot unilaterally terminate the contract. Except for the cases specified in Clause 2 as follows!
The lessee has the right to terminate the contract with the lessor in the following cases:
- The lessor does not repair the house when it is badly damaged. But it’s not the tenant’s fault.
- The lessor raises the rent unreasonably. Or the lessor increases the price without having an official letter of increasing the office rent to report to the lessee according to the agreement.
- Right to terminate when the lessee finds that the right to use the office is limited by the interests of the lessor.
The lessee may unilaterally terminate the office lease contract and notify the lessor at least 30 days in advance. During this time, issues of rights, obligations, and responsibilities will be resolved.
And you pay attention because the lessor and lessor have no agreement on office renovation. So, when the rent is increased and the contract is terminated, you have the right to reclaim the rent in the following months.
You can read the previous article here: The Office Kitchen: Pantry and Benefits
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Q: What are the legal requirements for lease contracts in Vietnam?
Vietnam has specific legal requirements for lease contracts, such as registration with the local authority and the inclusion of certain clauses, including those related to rent adjustment, termination, and dispute resolution.
Q: What are the different types of lease contracts available in Vietnam?
There are several types of lease contracts available in Vietnam, including commercial office leasing, co-working space lease contracts, and business center lease contracts.
Q: What is an office lease contract?
An office lease contract is a legally binding agreement between a landlord and a tenant, which sets out the terms and conditions for renting office space.