±A - Join Our Community

Learn from the experiences of other expats and make new friends in our disccussion forums and Facebook groups

±A - Cigna

±A - Read Our Guide

The Expat Focus Guide to Moving Abroad contains everything you need to know when planning an international relocation available now, completely free

±A - Compare Quotes and Save

Insurance, FX and international movers

±A - Listen to the Podcast

The Expat Focus podcast features interviews with expats living abroad and service providers meeting their needs subscribe today!

±A - Expert Financial

From our tax, investment and FX partners

±A - ExpatFocus Partners

Expat Focus Partners

Become a Partner. Click Here.

Leaseback Property End of Contract

France - Leaseback Property End of Contract

At the end of the lease contract it is the aim of many owners to renew for at least the same period of time so as to be in a position to keep the full VAT refund and to avoid capital gains tax liability (can be applicable if the property is sold before 15 years).

Some owners may wish to renegotiate the terms of the lease to, for example, include more personal occupation etc. in which case it is generally advisable to begin negotiations at least 6 months to a year before the actual lease contract expires.

Similarly, those who do not wish to renew the lease contract should serve the appropriate notice as set out in the lease contract. In the case that this is not stated in the contract the minimum is normally six months although a years notice is recommended.

French commercial leases are governed by French commercial law which is a complex matter and protects the tenant. The law states that the head tenant can claim an indemnity if they are evicted from the property at the end of the lease contract. The law also permits for the tenant to have a right to renew the property when the lease comes to its term.

Whilst this is more applicable for high street shops and it is not the intention of the property management company at the start of the lease it is a possibility and should be taken into consideration.

Some management companies will provide owners with a letter stating that they will not ask for these fees so as to reassure the owner.

In the case where eviction indemnity was to be paid should the owner not wish to renew the lease, French agents expect or have experienced eviction fees of approximately 6 months to 1 years worth of rental income earned by the owner of the property. This is a relatively small amount when capital appreciation and the VAT rebate is taken into consideration.

In any case, the owner is the freeholder of the property at all times, and after the lease contract is terminated they can do as they wish with the property.

If the owner of the property wished to sell it during the lease period this can be done and the new owner would have to honour the remainder of the lease.

If the property was being sold after the lease period then it can be sold as a normal property through a local estate agent.

Read more about this country

Expat Health Insurance Partners

Bupa Global

At Bupa we have been helping individuals and families live longer, healthier, happier lives for over 60 years. We are trusted by expats in 190 different countries and have links with healthcare organisations throughout the world. So whether you're moving abroad for a change of career or a change of scene, with our international private health insurance you will always be in safe hands.


Cigna has worked in international health insurance for more than 30 years. Today, Cigna has over 71 million customer relationships around the world. Looking after them is an international workforce of 31,000 people, plus a network of over 1 million hospitals, physicians, clinics and health and wellness specialists worldwide, meaning you have easy access to treatment.