Who does the improvements and fixtures on the rented property belong to?
Full Question:
Answer:
The answer will depend on the terms of the lease. Generally, when a new landlord enters, they are bound by the terms of the lease already in existence. If you don't have a written lease for a specified period, you are generally considered a month-to-month tenant and the new owner may change the terms of the tenancy, such as by increasing rent, altering the amenities offered, etc.
When a tenant makes improvements to a leased property, the lease terms typically govern the ownership of the improvements. If the tenant makes improvements to the property which are permanent fixtures, meaning that they can't be removed without damaging the property, they typically become part of the property. Rather than argue at the termination of the lease whether additions made by a tenant are fixtures, the lease should clearly spell out the right of tenant to remove the items it has added to the premises. If the ownership of the improvements were made under an oral contract, the new owner typically assumes the terms of the previous contracts made, however, it may be difficult to prove the terms if they aren't in writing. It may be a matter of determination for the court, based on all the facts and circumstances involved, to prove the ownership of the items.
Improvements made with the landlord's knowledge and consent, but at the tenant's expense, cannot be grounds for increasing rent because the tenant owns the improvements. The consent must be definite and certain. Tenants may remove the improvements when the lease terminates, assuming it can be done without damaging the property. Improvements made without the landlord's knowledge and consent cannot be removed when the lease terminates.