What lease allows a tenant to extend the lease term at their option?

A renewal lease is designed specifically to grant tenants the ability to extend the terms of their current lease agreement. This type of lease typically includes a provision that allows the tenant, at their discretion, to extend the lease for an additional period, often under the same conditions as the original lease. This option gives tenants flexibility and security, ensuring they can continue occupying the premises without the need to negotiate a new lease from scratch each time their current agreement expires.

In contrast, other lease types do not inherently provide this option. A fixed lease typically runs for a specified period with no provisions for extension; an extension lease may imply alterations or additions but does not usually confer an automatic right to extend; and an options lease typically refers more broadly to various options that may be included in leases but does not specifically align with the concept of a tenant-initiated renewal. Thus, renewal leases stand out for their explicit allowance for tenants to extend their occupancy based on their needs and preferences.