British Columbia Commercial Lease Guide (Canada)

Commercial Lease Guide for British Columbia

A practical, tenant-focused guide to BC commercial leases — not legal advice.

Not legal advice. Use this as a checklist and discuss with a qualified professional.

What to know before you sign

In British Columbia, many retail and industrial leases are net leases where the pass-through costs (taxes, insurance, operating costs) can be as important as base rent.

BC also has many strata commercial properties. Strata bylaws and building rules can impact signage, hours, deliveries, and renovations—treat them like part of the lease.

Major markets

Where leasing norms concentrate.

Vancouver
Burnaby
Surrey
Richmond
Victoria
Kelowna

Common lease types

Typical structures and what to watch.

Retail: net lease (additional rent + center/strata rules)
Office: modified gross (expense escalations and exclusions)
Industrial: net lease (roof, paving, and loading language matters)

Cost drivers

Items that often create surprise bills.

Additional rent definitions and CAM reconciliation
Strata fees, bylaws, and special levies (for strata properties)
Insurance deductibles (water damage) and coverage requirements
Seismic/earthquake risk allocation (coverage, deductibles, retrofits)
Capital items billed through CAM (replacement vs. amortization)

Key things to watch in British Columbia

Leasing norms and pass-through structures vary by province/territory. Here are top issues we see for tenants in British Columbia:

Net Lease Pass-Throughs

BC commercial leases commonly shift building costs to tenants. Require itemized CAM statements, an annual reconciliation, and limits on management/administrative fees.

Insurance & Deductibles

Confirm who pays insurance deductibles (and when). Deductibles for major events can be significant; avoid open-ended tenant liability.

Negotiation checklist

Get the strata documents (if applicable)

Request strata bylaws, rules, and recent meeting minutes. Confirm your business is permitted (use, signage, hours, deliveries) and that future changes won’t break your operations.

Define and audit additional rent/CAM

Require itemized budgets, annual reconciliation, and audit rights. Exclude capital replacements (or require amortization) and cap management/admin fees.

Water damage and deductible language

Clarify who pays deductibles and what happens if a water incident closes your space. Avoid clauses that make you responsible for building-wide losses you can’t control.

Seismic and casualty protections

Confirm whether earthquake coverage is required and who pays deductibles. Clarify rent abatement and termination rights if the space can’t be used.

Repairs vs. replacement boundaries

Separate routine maintenance from major replacements (roof/HVAC/structural). Negotiate caps for tenant responsibilities.

Exit flexibility

Negotiate reasonable assignment/sublease rights and consent standards so you can sell the business or relocate.

Common landlord traps

Uncapped pass-throughs: Operating costs, taxes, and insurance can rise year-to-year without a cap.
Capital replacements billed to tenant: Avoid language that makes you pay for roof/HVAC replacement.
Short notice deadlines: Renewal and termination rights can depend on strict written notice windows.

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Official resources

BC Registry Services BC taxes (government portal)BC small business resources

Other tools

Frequently asked questions

What is a “strata” issue in a BC commercial lease?

Some commercial spaces are governed by strata bylaws and rules that can restrict uses, signage, hours, renovations, and deliveries. Ask for strata documents and confirm your business model is permitted.

Are net leases common in BC?

Yes—especially in retail and industrial. The key is understanding additional rent/CAM: what’s included, how it’s reconciled, and what capital items can be passed through.

Does BizLeaseCheck provide legal advice?

No. It helps you spot common risks and compare leases quickly, but it’s not legal advice. Use it alongside qualified professional review for your situation.