Renewal Option

Dictionary Says

Definition of 'Renewal Option'

A clause in a lease that outlines the terms for renewing or extending an original lease agreement. The renewal option appears as a covenant in the original lease and provides specifications under which the leaseholder can renew or extend the original lease term for an additional, specified time and rate (rent).

Investopedia Says

Investopedia explains 'Renewal Option'

A renewal option provides the leaseholder the option, but not the obligation, to renew or extend a lease agreement beyond its initial terms. A start-up business may, for example, rent an office space for five years. A renewal option would allow the business to renew or extend the lease to remain in the office space beyond the five-year lease term. This can be beneficial to the business: if it is doing well in the location, it can remain for an additional term; if it is doing poorly, it can close shop at the end of the initial term without defaulting on the lease and without pressure to renew or extend it.

Search results for

'Renewal Option'

  • How Your Annuity Company Determines Renewal Rates

    http://www.investopedia.com/articles/pf/07/renewal-rates.asp
    ... but the options can have several variations that could make a difference in your
    renewal rates. (To read more about options, see our Option Spread Strategies ...
  • Series 66 Study Guide - Exam Preparation - Introduction ...

    http://www.investopedia.com/exam-guide/series-66/exam-preparation/default.asp
    ... In most circumstances, licenses are due for renewal at the end of each calendar
    year. ... An investor writing a put option would practice pegging so that he or she ...
  • Series 7 Study Guide - Packaged Securities - Mutual Fund ...

    http://www.investopedia.com/exam-guide/series-7/packaged-securities/mutual-fund-fee-breakpoint.asp
    ... This fee is usually between 0.5% and 1.0%. The arrangement between the
    fund and its advisor must come up for renewal every year. ...
  • Brokers: Do You Want To Sell Stocks Or Insurance?

    http://www.investopedia.com/articles/financialcareers/07/broker_insurance.asp
    ... a client pays his or her renewal premium, the representative receives a renewal
    commission. ... retail stock broker or advisor who generally has the option to sell ...
  • Segregated Funds: Investment Protection For Canadian Citizens

    http://www.investopedia.com/articles/mutualfunds/09/segregated-funds.asp
    ... Some segregated funds offer an option for the return of 100% of the original ... (To
    learn more, read How Your Annuity Company Determines Renewal Rates.). Liquidity ...
  • Series 6 Study Guide - Securities Industry Regulations ...

    http://www.investopedia.com/exam-guide/finra-series-6/securities-industry-regulations/securities-act-1934.asp
    ... or based on the value thereof), or any put, call, straddle, option, or privilege ...
    exceeding nine months, exclusive of days of grace, or any renewal thereof the ...
  • 3 Republican Plans For Your Taxes - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/1111/3-Republican-Plans-For-Your-Taxes.aspx
    ... to businesses and employees that locate and work in inner-city areas in need of
    renewal, which Cain ... His 20% flat tax option would phase in over eight years. ...
  • The Real Threat To Netflix Isn't RedBox Or BlockBuster

    http://stocks.investopedia.com/stock-analysis/2011/The-Real-Threat-To-Netflix-Isnt-RedBox-Or-BlockBuster-TWX-SNE-NFLX-AAPL-AMZN-CSTR-BLOAQ0719.aspx
    ... It also offers an 'in store' rental option with some of its packages ... Other content
    contracts expire within a couple of years, and the renewal of those deals is ...
  • Life Insurance: How To Get the Most Out Of Your Policy

    http://www.investopedia.com/articles/pf/06/lifeinsurance.asp
    ... lapsed policy may be renewed in some plans, although the exact renewal procedure
    varies ... of the insurance company and therefore do not have the dividend option. ...
  • Spotlight On The Solar Industry

    http://www.investopedia.com/articles/stocks/08/solar-investing.asp
    ... of the legislative process, the subsidies may not be renewed or renewal may be ...
    historically volatile sector, the solar industry may be a good option as the ...

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