Is there a percent cap of how much rent you can increase a California commercial retail store?
For context, this is a bagel store retail store. I have not increased their rent for the past 2 years and they have been month to month since the beginning of this year. We are now doing a lease renewal and want to increase the rent. This is a gross lease.

They are paying $3900 and now market is around $6,400.($4 per square feet). I am going to offer them $5,600.

building sqft is 1623.

Is there a cap for how much I can increase it to in California?

Thank you
[{"id": "i77l0hr", "text": "No.", "replies": [], "depth": 1}, {"id": "i77oaca", "text": "No, but I know for a fact market rents in SF force businesses to move. There are a lot of empty high priced buildings.", "replies": [], "depth": 1}, {"id": "i78ian4", "text": "Typically, the answer is No....but I would highly suggest you double check with the city/county of the property just in case they did something with Covid. In Orange County, Los Angeles and San Bernardino, we had eviction moratoriums on commercial properties, but I haven't come across any restrictions on rental increases.", "replies": [], "depth": 1}, {"id": "i78nqhi", "text": "No cap on commercial but I'd be considering the costs of them possibly leaving within 30-60 days if you push to hard on \"market rents\". Totally within your rights to raise the rents quickly and I don't know the area, but how long will it take you to find a new tenant at $5,600? \n\nAnd how much free rent, leasing commissions, and tenant improvements will you need to pay to get them locked in? If you aren't well capitalized, one of the only levers you have is low or free rent to attract a long term tenant. If you end up with a new bagel company tenant at say $4,500 after 9 or 12 mos, will the vacancy have been worth it if you couldve negotiated the same with the current tenant?\n\nAgain I don't know any details and I'm just looking at the negotiation with a 56% rent bump and the tenant can leave within 60 days...you might've considered all of this already though.", "replies": [], "depth": 1}]