My landlord is selling the building. What happens to my lease?

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Plain-English definitions with BC sources, from the encyclopedia:

• Term (loan)
• Renewal option
• Estoppel certificate
• Deposit
• Demolition clause

General information only. This page is not legal, tax, accounting or financial advice, and it isn’t an opinion on your situation. Laws, rates and figures change, and examples are illustrative. Get advice from a lawyer, accountant or other qualified professional before you act. Reading this page doesn’t create an agency or client relationship. Cam Appleton is a Commercial Real Estate Agent licensed by the BC Financial Services Authority (BCFSA RE611549) with Coldwell Banker Prestige Realty. Terms and disclaimer.

What usually happens

A sale usually changes who you pay, not what you signed, though your lease wording matters. the Commercial Tenancy Act lets a sale go ahead without the tenant’s consent, and addresses rent paid to the old owner before you were told about the sale.

Whether a lease binds a buyer can depend on its wording and whether it’s registered on title under the Land Title Act. Questions for your lawyer: Does my lease bind the buyer? Is it registered on title? Does any clause let the new owner end it?

Clauses to look for

Demolition and redevelopment

The City’s guide says these clauses let a landlord end your lease if they decide to develop, demolish, renovate or sell. Find the clause and its notice period.

Estoppel certificates

You’ll likely be asked to sign one. It confirms your lease terms to the buyer, so check every line matches your lease, including rent, term, deposit and options.

Your lease	What a sale means
No demolition or sale clause	Often, you stay for the term (ask your lawyer)
Clause with a notice period	The owner may be able to end it with that notice
Clause with no notice period	Often a weaker position, get legal advice

Your options: stay, move or buy

Many tenants stay and keep paying rent. Quietly scout backup space. Or, if the building suits you, think about buying it yourself. If redevelopment looks likely, negotiate notice or relocation help early. See your building is being redeveloped and relocating your business.

Thinking a step ahead

Sort out the lease before anyone needs it

Once a sale is under way, the other side often holds the cards. Tenants who checked their term, renewal option and assignment clause early usually have more room.

Your lease is part of your business’s value

If you own a business in the space, a secure, assignable lease is one of the things a future buyer pays for. Protecting it now can protect your exit later.

If you want to buy it, show up like a real buyer

Sellers tend to take buyers seriously when they arrive with funding answers and a written offer with a modest refundable deposit.

Expect an estoppel request

Buyers usually ask for the rent roll, the leases and estoppel certificates from tenants. Check that what you sign matches your lease, including any renewal option or right of first refusal.

Protect your renewal option

If you have one, confirm the notice date and stay in good standing.

Have a lawyer review any estoppel certificate before you sign, and any demolition or redevelopment clause before you rely on it.

Cam is a licensed real estate agent, not a lawyer or accountant, so take the legal and tax questions to them.

Protecting your next lease

Consider negotiating a minimum notice period on any demolition clause, ask for relocation help, and confirm who holds your deposit after a sale. Assignment and sublease rights come from your lease, so ask your lawyer about keeping them flexible.

Common mistakes

• Assuming the sale ends your lease.
• Signing an estoppel certificate without checking it against your records.
• Ignoring a right of first refusal or offer in your lease.
• Waiting until your lease ends to talk to the new owner.

Attornment when the landlord sells

Many leases say that when the landlord sells, it is released and you must attorn to the buyer—accept them as the new landlord—often free of charge. That can leave gaps if the buyer never signs on to the landlord’s old promises.

Before or at a sale, ask in writing that your security deposit transfers to the buyer, that the buyer agrees to be bound by the lease, and that the seller stays liable for anything the buyer does not assume. A non-disturbance agreement with the lender is a separate ask: it is about foreclosure, not just a sale between owners.

Your lawyer should review the sale language in your lease and any estoppel the buyer’s side sends you.

Questions people ask

Does my lease stay valid if the building sells?

Often yes, with the buyer taking over as landlord. Wording and registration on title can matter, so ask your lawyer how it applies to your lease.

Can a new owner end my lease?

Generally only if the lease allows it, often through a demolition, redevelopment or sale clause with a notice period.

How much notice does a demolition clause give?

Whatever your lease says. The City of Vancouver’s research found three to four months is usually considered a standard wind-down period.

Do I have to sign an estoppel certificate?

Many leases require it. Have your lawyer check it matches your lease before you sign.

Written by Cam Appleton, Commercial Real Estate Agent, Coldwell Banker Prestige Realty. Sources are linked in the text and were checked Oct 27, 2026.