Introduction

Many factors have helped to generate a widespread and appropriate growth of the real estate lease market in Colombia, especially in the case of leases for corporate clients:

• the new dynamics of the Colombian market, as well as the exploitation of new businesses;
• the entry into the market of real estate funds, which main business consists of the permanent and organised exploitation of real estate through the generation of periodical liquid income;
• the country’s constant economic growth;
• the strengthening of macroeconomic variables; and
• the recent entry of foreign investment promoted by the policies adopted by the national government.

The high fl ow of negotiations, as well as the increasing offer of suitable real estate for the operation of corporate clients, which is often built to their specifi cations, have granted tenants signifi cant negotiating power in the subscription of lease agreements. Typically they have achieved the adjustment of the main conditions related to rent, term, repairs and improvements, early termination, extensions and renewals to the corporate requirements of the business of each of these clients.

The previous circumstances, accompanied by the protection provided to the tenant by commercial laws in the sense of establishing policies intended to foster stability and continuity of the tenant’s activities, have led Colombia to offer favourable conditions for the establishment of business operations and offi ces of different companies from all over the world.