Document background
The Lease Renewal Letter With Rent Increase is a crucial document in Philippine property management, used when a property owner or manager wishes to continue a lease arrangement with an existing tenant while adjusting the rental rate. This document must be prepared in accordance with Philippine law, particularly RA 9653 (Rent Control Act) for residential properties below certain rental thresholds, and the Civil Code of the Philippines for general contract principles. The letter should be sent well in advance of the current lease's expiration, typically 60-90 days prior, to allow for negotiation and compliance with notice requirements. It serves multiple purposes: documenting the proposed terms of renewal, providing legally required notice of rent increase, and maintaining clear communication between parties. The document typically includes justification for the increase, whether based on market conditions, property improvements, or other factors, and must ensure that any proposed increases comply with legal limitations.
