When can the landlord terminate a commercial lease and evict the tenant?

Only where there is a ground provided for in the law or in the lease. The most common statutory grounds are failing to pay the rent or the expenses the tenant took on, failing to pay the statutory deposit (“fianza”), carrying out works without the necessary permission or deliberately causing damage, carrying on activities that are a nuisance or unlawful and assigning or subletting the premises without complying with the law. If there are no grounds, the landlord cannot recover the premises before the lease ends, even if he or she needs them, unless this is agreed with the tenant. And if the tenant does not leave voluntarily, a court judgment ordering eviction is needed.

Alburquerque Abogados

José Manuel Alburquerque

The grounds

The law allows the landlord to terminate a commercial lease on these grounds:

  • Non-payment of the rent or of any amount the tenant has taken on or is responsible for, such as the service charges (owners' association fees) or the “IBI” (the local property tax) if these were agreed. A single unpaid month is enough.
  • Non-payment of the deposit or of an update to it.
  • Damage deliberately caused to the premises and works carried out without the landlord's consent where it was required.
  • Activities that are a nuisance, unhealthy, harmful, dangerous or unlawful.
  • Assignment of the lease or subletting without meeting the legal requirements, such as giving notice within one month, or despite the lease prohibiting them.

The lease can also be terminated on grounds set out in the lease itself, such as a change of activity, the tenant company passing into the hands of other shareholders or the lack of a licence. And for any serious breach, such as using the premises for an activity other than the one agreed or damaging them. For commercial premises there is no right for the landlord to recover the property because he or she needs it, which the law allows for homes, unless this has been agreed.

How it is done

  • Send the tenant a written demand by “burofax”, a certified letter with proof of content, or by another means that leaves a record.
  • Attempt a negotiation before bringing a claim, as the law has required since April 2025. If the problem is non-payment, the letter should demand payment and, separately, make a specific settlement proposal.
  • Bring a possession claim if there is no agreement.

In an eviction for non-payment, the tenant can stop it by paying everything owed within the ten-day period given by the court, which is known as “enervación”. The tenant can only do this once. Nor can the tenant do it if the landlord demanded payment in a way that provides reliable proof at least thirty days before bringing the claim and the tenant did not pay. In the meantime, the landlord cannot change the lock or cut off the utilities.

If there are no grounds

All the landlord can do is negotiate an agreed departure. If the landlord pays the tenant to leave early, that amount carries VAT, because the tax authorities regard it as payment for a service by the tenant, namely giving up the use of the premises.

This answer is provided for educational purposes and offers initial guidance on the question raised. Every matter has its own circumstances and nuances that require individual assessment. For that reason, before taking decisions with significant consequences, it is advisable to consult a professional and not to rely solely on this information. Personalised advice makes it possible to apply these explanations to the specific case and to assess the options available with greater certainty.