Tenant right to terminate the entire lease at a stated trigger date, often subject to a fee.

  • Tenant right to terminate the entire lease at a stated trigger date, often subject to a fee.
  • A termination option (sometimes 'kick-out') gives the tenant the contractual right to end the lease at a stated date, subject to a termination fee equal to the unamortised TI, free rent, and brokerage.

Termination option

Lease structure · US

Short definition

Tenant right to terminate the entire lease at a stated trigger date, often subject to a fee.

Full definition

A termination option (sometimes 'kick-out') gives the tenant the contractual right to end the lease at a stated date, subject to a termination fee equal to the unamortised TI, free rent, and brokerage. Standard on long-term US leases for risk management.

Why this matters for Class A leasing

Termination option is part of the lease structure vocabulary that institutional Class A occupiers, landlords, and advisers use across US markets. Understanding it correctly affects how you read lease documents, model occupancy economics, and benchmark deal terms across cities. Class A Atlas tracks the US definition alongside the global standard so cross-border occupiers can translate quickly.

See also

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