What does "convertibility" refer to in the context of leasing?

In the context of leasing, convertibility specifically refers to the ability to adapt or modify the leased space for different uses, contingent on obtaining approval from the landlord. This concept is particularly relevant in commercial leasing, where tenants may want to repurpose the space for various functions (e.g., switching from retail to office use).

Landlords often impose certain restrictions or conditions on how the property can be used or modified to ensure that any changes align with the property's intended purpose and do not negatively impact other tenants or the overall property value. Therefore, the ability to convert the leased space hinges on both the tenant's desire to make changes and the landlord's agreement to those changes, which underscores the collaborative nature of tenant-landlord relationships in lease agreements.

In contrast, the other options address different aspects of leasing and do not fit the definition of convertibility. Assigning a lease to another party describes the process of lease transfer, evaluating market value pertains to property appraisal, and terminating a lease involves ending the rental agreement, none of which relate specifically to the adaptability of the leased space.