Commercial lease or pop-up: which legal framework is right for your business?
Whether you are opening a boutique, running a coffee bar or launching a temporary pop-up shop, your commercial property is often the beating heart of your business. Even if you are letting an office, warehouse or shop, that commercial property is more than just an investment: it marks the beginning of a lasting relationship with your professional tenant. A clear legal framework is essential from the outset, not only to structure the collaboration properly, but also to avoid discussions later on.
When does the Commercial Lease Act apply? And when does a contract fall under the Pop-up Decree? Lawyers Stefanie Claeys, Marlies Janssens and Dorien Avaux clearly explain the scope of both regimes.
Two legal regimes for commercial leases
In Belgium, there are two legal regimes for commercial leases: the Commercial Lease Act and the Pop-up Decree. The Act of 30 April 1951 on commercial leases provides the traditional framework for companies that conduct their commercial activities at a fixed location. The Flemish Decree of 17 June 2016 on short-term commercial leases, better known as the pop-up decree, offers a flexible alternative for temporary commercial leases.
Both regulations are based on the same principle: creating a balance between tenant and landlord, with protection for the company that builds up its clientele in the premises. Which regime applies depends on the duration of the lease.
Commercial Lease Act: the classic framework for sustainable trade
The Commercial Lease Act provides a solid, binding legal framework for businesses that carry out their commercial activities at a fixed location. It aims to create stability and legal certainty for both parties, thus forming the basis for long-term cooperation.
‘The Commercial Lease Act recognises that a business is often literally anchored to its location. A stable and well-thought-out rental framework is therefore essential for both parties.’
1. Territorial scope of the Commercial Lease Act
The legal regime governing commercial leases applies only to immovable property located in Belgium. The location of the property therefore determines the applicable law, regardless of where the tenant or landlord is established.
2. Material scope of the Commercial Lease Act
To fall within the scope of the Commercial Lease Act, five conditions must be met:
- There is a rent | The agreement must provide for consideration for the use of the property.
- It concerns immovable property (or part thereof) | The Act only applies to buildings or parts of buildings, not to movable installations such as food trucks or market stalls.
- The property is mainly used for retail or craftsmanship | The tenant carries out an activity there that involves direct contact with the public, such as a bakery, hairdresser or jeweller.
- The commercial use predominates | In the case of mixed use (commercial and residential), the commercial character must remain the main function.
- Direct contact with customers is decisive | The business builds up its customer base at that specific location through physical contact. A mere storage facility or an internet company therefore does not fall within the scope of application.
Please note: It does not necessarily have to be commercial property in the strict sense of the word. A house or flat that is normally intended for residential use may also fall within the scope of the Commercial Lease Act. The nature of the property is therefore not decisive, although the layout may be an indication of the actual commercial use.
If one or more of these conditions are not met, the agreement falls back on general tenancy law. Some parties deliberately choose to declare the Commercial Lease Act contractually applicable, for example to benefit from the protection and fixed framework it offers.
Questions about commercial leases? In February 2026, NOMA is organising two live seminars in Brussels and Bruges. Leave your details here and we will be happy to keep you informed.
3. Personal scope of application of commercial tenancy law
The landlord can be a private individual, a company or a public authority. The tenant is usually a trader or company that uses the property for commercial purposes.
Whoever signs the agreement remains a party for the entire duration of the lease, even in the event of renewal. Any notice of termination or request for renewal must therefore always be issued by all the original signatories.
Pop-up decree: flexible entrepreneurship in a temporary framework
Not every entrepreneur wants to commit to nine years. For short-term leases, the Flemish Region has a pop-up decree that offers flexibility for commercial leases of up to one year.
The basic conditions are largely the same as those of the commercial lease law: it must concern retail or craftsmanship with direct contact with the public. The difference lies in the possible duration: the pop-up decree allows for a shorter duration, with limited extensions.
‘The pop-up decree allows entrepreneurs to test and grow without committing themselves for years. As soon as the lease exceeds one year, the classic commercial lease regime applies.’
If a pop-up contract is extended and the total term exceeds one year, it is considered from the start of the agreement to be a nine-year commercial lease, with all the associated rights and obligations.
Commercial leases in Belgium: balance as a foundation
Whether it concerns a traditional commercial lease or a temporary pop-up, the key lies in balance. NOMA strives to ensure that tenants and landlords are on the same page. A commercial lease agreement is not a one-sided deal, but a long-term partnership that requires clarity and certainty.
Want peace of mind when it comes to your commercial lease? Our solicitors will be happy to make time for you. Schedule an appointment at one of our offices in Brussels, Bruges or Kortrijk, and we will be happy to assist you with your specific question. Please contact us.
In February 2026, NOMA will also be organising two live seminars on commercial leases, in Brussels and Bruges. Leave your details here and we will be happy to keep you informed.
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