Your Business Deserves a Fair Lease
Business owners for standard leases and predictable rent.
Why do Businesses Need Protection?
You’ve invested everything into your business. Tens of thousands renovating your space. You’ve built a loyal customer base, hired local staff and become part of your community.
Then lease renewal hits. Your landlord doubles your rent – or your roof leaks for months with no remedy, and suing is your only option. According to Better Way Alliance’s 2022 Commercial Rent Report, over 50% of businesses have closed or moved because of rent disputes or unexpected increases. Our 2025 Fixed Cost Crunch analysis found that Toronto retail rents jumped 142% between 2019 and 2024, with a 68.5% spike in the last year alone. That’s not a functioning system.
Commercial renters have few rights in their leases. Unlike many residential renters, for businesses renting commercial space:
- Your landlord can increase rent by any amount at renewal. We regularly hear about 50%, 100%, even 300% increases.
- There’s no accessible way to resolve disputes. Your only option is to sue your landlord.
- There are no standard leases. First-time business owners have no baseline to know what’s fair and what’s predatory.
- You can’t withhold rent even when your landlord owes you money. You still have to pay full rent or face eviction within 15 days.
Canadian business owners are tired of seeing our neighbours close because of giant rent increases and a lack of protections. Your local coffee shop owner is often negotiating with a billion-dollar land-holding company. They need leverage too.
That’s why we’ve built the Commercial Renter Bill of Rights. Four practical reforms that empower businesses while maintaining a functional commercial real estate market. Smart governments are encouraging greater productivity, good local jobs, and brick & mortar business success. Stabilizing businesses through commercial rent reforms is key to this:
- Standard Lease Agreements
- Affordable Dispute Resolution
- Graduated Rent Increases
- Right to Withhold Rent
Send a message to your MPP/MLA & MP that you support a Commercial Renter Bill of Rights.
Commercial Renter’s Bill of Rights
Standard Lease Agreement
Standard leases establish a clear baseline for responsibilities, timelines, and core terms in plain language, while still allowing custom provisions for your specific situation.
Why it matters:
- First-time business owners get the same clear foundation as experienced operators
- Negotiations focus on the specifics of your deal, not decoding legal language
- Both you and your landlord know exactly what to expect
- Reduces disputes by creating shared understanding upfront
The precedent: Ontario’s standard residential lease reduced disputes and legal costs for both tenants and landlords. Multiple provinces now use them successfully.
Real impact: Krista Mansour at Footprints on Muskoka faced a Triple Net Lease renewal requiring her to pay unpredictable shares of building costs, including the property manager’s health insurance. Without clarity on what those costs might be, she closed during peak season. A standard lease framework would have given her the transparency to make an informed decision.
Affordable Dispute Resolution
When your landlord won’t fix a leaking roof or honor repair obligations, you shouldn’t need to spend thousands and wait months for a court date. Accessible dispute resolution, similar to residential landlord-tenant boards, gives you a fast, affordable way to resolve conflicts.
Why it matters:
- Resolve issues in weeks, not months
- Affordable filing fees instead of lawyer retainers
- Both sides present their case to a neutral adjudicator
- Keeps you focused on your business, not legal battles
The precedent: Ontario’s Landlord-Tenant Board handles 80,000+ residential disputes annually at a fraction of court costs. Similar frameworks exist in multiple provinces.
Real impact: People’s Pint Brewery dealt with a leaking roof their landlord refused to repair while facing a 50% rent increase. Their only option was a lawsuit they couldn’t afford. They shut down instead, abandoning $150,000-200,000 worth of equipment. Accessible dispute resolution could have resolved the issue in weeks.
Graduated Rent Increases
Rent increase caps establish reasonable limits on increases between lease terms, similar to residential systems in several provinces. Your landlord still benefits from steady property value growth. You get the stability to build a sustainable business.
Why it matters:
Our Fixed Cost Crunch analysis found that commercial rent increases cost the typical micro-business 1.4 times more annually than minimum wage increases. Yet policy discussions focus almost entirely on labor costs while ignoring the biggest expense hitting your bottom line.
Graduated rent increases give you:
- The ability to budget confidently for expansion and hiring
- Confidence to invest in improvements knowing you can afford to stay
- Freedom to build community relationships without constant relocation fear
The precedent: France has had commercial rent controls since 1953 and maintains one of Europe’s most vibrant retail sectors. Australia uses state-level protections. California implemented protections for small businesses in January 2025. None experienced the property value collapse opponents predicted.
Real impact: Till Death BBQ built an award-winning restaurant with a 5-year lease. Two years in, their landlord triggered a clause allowing a 100% rent increase. After failed negotiations, Joy and Shannon Warner were forced to abandon their restaurant. Graduated rent increases would have protected their investment while giving their landlord reasonable returns.
Right to Withhold Rent
If your landlord owes you money for repair reimbursements, security deposit issues, or breach of contract, you shouldn’t have to pay full rent while also paying lawyers to chase what you’re owed. The right to offset rent against documented amounts owed by your landlord balances the relationship.
Why it matters:
- Stop paying for repairs out of pocket while hoping for reimbursement
- Maintain cash flow during disputes instead of paying rent AND legal fees
- Gives landlords an incentive to resolve issues quickly
- Levels the negotiating power in the landlord-tenant relationship
The precedent: Many sophisticated commercial leases already include offset provisions. This would extend that reasonable protection to all commercial tenants, not just those with expensive lawyers.
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