A Contract for Business, Not for Living
A retail lease, or huurovereenkomst voor winkelruimte, is a specific type of commercial rental agreement for a property intended for public-facing business activities. This includes shops, boutiques, restaurants, cafes, and craft businesses. It is fundamentally a business-to-business contract. It is critical for anyone looking for housing to understand that this type of lease is not for residential use. The laws, regulations, and market practices for renting a retail space are completely different from those for renting an apartment. Attempting to live in a space rented under a retail lease would be a breach of contract and a violation of municipal zoning laws (bestemmingsplan).
Governed by Different Laws
Residential leases (woonruimte) are governed by a section of the Dutch Civil Code that provides extensive, often mandatory, protection for the tenant (huurbescherming). Retail leases, on the other hand, fall under a different legal regime (Book 7, Title 4, Section 6 of the Civil Code), which offers some protection to the business tenant but is far more balanced towards the landlord's interests. The rules are designed to provide commercial stability, not to protect a person's home.
Key Differences from Residential Leases
There are numerous profound differences between a retail and a residential lease. Lease Term: Residential leases are often indefinite. Retail leases are typically for long, fixed terms, with a standard '5+5' year structure (an initial 5-year term with the option to renew for another 5 years). Rent: Residential rent is rarely subject to VAT (BTW). Retail rent is almost always subject to VAT. Rent Increases: Residential rent increases are strictly regulated. Retail rent increases are often linked to market value and can be reviewed every five years. Termination: It is very difficult for a landlord to terminate a residential lease. In a retail lease, while there are protections, the grounds for termination are broader and more business-oriented. These are two separate legal worlds, and the rules of one do not apply to the other.
