English
FrançaisI have just received a pdf from Lagrange/SMAS Tourisme re renewing my lease, with amendments. One of which is as follows:
Dans l’article 5 – Loyer, alinéa 5.1 – Loyer en numéraire – C- Révision du loyer : il est prévu une indexation du loyer en numéraire basée sur l’indice INSEE du coût de la construction, les parties conviennent de remplacer cet indice de référence, par l’Indice sur les Loyers Commerciaux (ILC) plus adapté aux baux commerciaux.
Le mode de calcul pour l’application de l’indexation triennale fixé dans le bail initial sera conservé.
L’indice de référence pour le calcul de l’indexation triennale sur ces nouvelles bases sera celui du 3ème trimestre 2018. La première indexation aura lieu le 20 décembre 2021.
Can anyone tell me what this change means i.e. changing the rental calculation from one based on INSEE to ILC please? I'm pretty sure it's not meant to move matters in my favour. Do they have a right to
simply inform me they are imposing this or any other amendment to tbe Bail Commercial (which, it appears, in any case, means SFA from the point of view of the 'owner' but is fully inforceable from the POV of the Management Co)?
Any advice appreciated.
Thanks.
I reckon you should tell them to send you the contract in English for a start.
Good advicd. Thanks.
Dear Argent,
It refers to change of the index for your new lease. The previous indexation was based on the ICC (which was deleted by the Pinel Law in June 2014). Therefore, in most french leaseback, the new indexation is based on ILC.
Kind regards,
David Sabatier
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I am very interested in this thread and have written to my MEP complaining about these issues.
https://www.danieldaltonmep.co.uk/campaigns/supporting-french-leaseback-owners
I am finding it hard to develop a strategy to seek a just solution to challenging the management company for rent arrears or honouring the original Bail Commercial. I have heard that it is not necessary to issue a CDP to seek rent recovery. Has any person any advice ref advantages /disadvantages of issuing a CDP if it is not financially viable to go for a Congé avec Offre de Renouvellement ie the risk of having to pay compensation for severing the lease.
Graham
I am afraid if you ever want to take your management company to court to sever the lease you will need proof of non payment or continual late payment of rent - the only evidence a french court will accept is the issue of CDP's on every occassion, if you do not have these you basically have no evidence - have you approached the management company about eviction compensation or are you just waiting blindly to see what happens, I would not advise the latter course of action
I am afraid if you ever want to take your management company to court to sever the lease you will need proof of non payment or continual late payment of rent - the only evidence a french court will accept is the issue of CDP's on every occassion, if you do not have these you basically have no evidence - have you approached the management company about eviction compensation or are you just waiting blindly to see what happens, I would not advise the latter course of action
Thank you
Good advice; I have already issued one CDP with no response and the subsequent court proceedings did not go in my favour for recovery of building indices and rent. However the rent was paid on the day of the court proceeding in the form of a cheque which subsequently took 31 days to clear!
The tactics Management Companies are adopting is scandalous they now act with obvious seemingly legal impunity; hence my and many other small investors helplessness to respond within the law.
This forum seems to be the only medium we have to vex our angst and try and find a compound solution. Graham