Encyclopedia
Holdover / overholding
When a tenant stays after the lease ends. The lease and the Commercial Tenancy Act affect what rent is owed and what kind of tenancy follows.
For example: A tenant whose lease ended keeps paying rent while negotiating, and checks what the lease says about overholding rent. (Illustration only, not a real deal.)
Official source: Commercial Tenancy Act (BC Laws)
Example only, not a real client. Say your lease ends while your new space is still being built. Your lease says holdover rent is double the current rent, so a few extra months would be costly. We negotiate a short extension at a modest increase before the lease ends, and your move happens on your timeline.
What I’d tell a friend
Know your lease end date and your holdover terms well before you need them. A short planned extension usually costs less than an unplanned holdover.
Why it matters to you
Staying after the lease ends can cost much more rent and leave you with little security. Plan renewal or a move well before expiry.
How to use it in your deal
Tenants should check the holdover clause before the lease ends: rent may jump, and the landlord may be able to end the tenancy on short notice. If you need more time, negotiate an extension in writing rather than relying on holdover. Landlords should be clear about whether they accept holdover rent and on what terms, since accepting rent can create a periodic tenancy.
If a tenant won't leave, the Commercial Tenancy Act provides remedies, including a court process for overholding tenants, which may allow double rent. Buyers should check for tenants in holdover. Plan renewal talks early to avoid it; a year out isn't too soon for a larger space.
Holdover can also clash with a new tenant's start date, and a landlord who can't deliver to the next tenant may claim those losses from you. If you're moving, book movers and the restoration work well before the end date. If you're staying, get the extension or renewal signed before expiry, even if the final rent is still being worked out, with a clause that adjusts it later.
Mistakes I see
Assuming the old rent continues. Not getting extensions in writing. Landlords accepting rent without clarity.
In BC and Vancouver
The Commercial Tenancy Act deals with overholding tenants.
Official sources: Commercial Tenancy Act (BC Laws) · CanLII (court decisions)
What holdover means
Holdover, sometimes called overholding, is when a tenant stays after the lease ends without a new agreement. Many leases set a higher rent for that period and may make the tenancy month to month.
Staying past the end can also expose you to costs if the landlord had already leased the space to someone else.
Planning for it
If there is any chance your move will slip, raise it early and agree a short extension in writing.
Read your lease’s holdover clause, and check with a BC lawyer if the landlord claims costs beyond the higher rent.
Questions to ask before you sign
- What does the holdover clause say?
- What rent applies?
- How much notice is needed?
- Can we extend in writing?
Month-to-month beats an accidental new year
Overholding clauses often push a tenant who stays without a new lease into month-to-month—at a higher rent—so nobody invents a fresh one-year term by accident. Without consent, some forms treat the tenant as a tenant at will.
Diary the expiry and the renewal notice window. If you need a short bridge, get it in writing with an end date and a rent both sides accept.
Your lawyer should read the overholding math before you rely on silence.
Keep reading
Related terms: Renewal option, Critical dates
- Leasing out commercial space in BC: a landlord's guide
- Leasing commercial space in BC: a tenant's guide
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General information for British Columbia only. It isn’t legal, tax, accounting or financial advice, laws and rates change, and reading it doesn’t make you my client. Any numbers or scenarios are hypothetical. Check the linked official source and talk to a lawyer, accountant or other qualified professional before you act or sign anything. See the terms and disclaimer.