10. What can I charge in Rent for a French Rental Property?

1. 10.1. New Tenancy
   10.2. Annual Increase
   10.3. Improvement Works
   10.4. Renewal of Tenancy
   10.5. Service Charges

10.3. Rental Increase on Improvement Works

The tenancy agreement may also provide that the rent should be increased by an agreed amount (or formula) following certain improvement works that may be carried out by the landlord.

These works, and the details of the new rent, should be set out in the tenancy agreement.

The works cannot be those that the landlord is otherwise legally required to undertake in order to bring the property up to a habitable standard.

Neither can the landlord unilaterally decide to undertake improvement works and impose a rental increase on the tenant. Nevertheless, they are entitled to carry out improvement works if they consider it reasonably necessary to do so.

Alternatively, the tenant may themselves request certain improvements to the property for which a mutually agreed rent increase can be applied.

In July 2009 the government also announced a proposal for allowing landlords to apply an increase in the rent for works of energy conservation carried out to the property.

The increase can be either €20 per month for a maximum of 15 years, or a sum that cannot be more than half the cost savings achieved in the reduction of energy consumption from the works.

The works must be proceeded by an energy audit, which will provide information on the cost savings that could be achieved.

The tenant has the right to refuse the works to private areas of the property, athough not to communal areas.

As at the date of writing (Sept 09) a commencement date had yet to be announced.