Reversionary interest
A reversionary interest is the interest an owner keeps after granting a lesser interest, which entitles the owner to possession when that lesser interest ends. For example, a landlord who grants a lease keeps the reversion, and possession returns to the landlord at the end of the term.
How BC law treats it
A landlord never loses ownership by granting a lease; it holds the reversion throughout the term. Reversionary and future interests can also arise under trusts and wills, where property passes to another person after a prior interest ends.
What it means for your business
A landlord can sell its reversion during a lease, and the buyer generally takes subject to the existing tenancy.
Risks and common mistakes
A tenant under a long-term lease that is not registered on title may be vulnerable if the landlord sells the reversion.
For the full explanation, see our entry on Leasehold.
General information about British Columbia and Canadian law, current to October 2026. It is not legal advice.
