Renewing Lease In Condo

Think of it this way:
It's your option to renew. Options of any sort usually cost money, but you are getting this one for free. If you don't want to renew, you don't have to. If you want to renew and the market has gone down, you can renegotiate the renewal amount. But if the market goes up substantially, the owner can't raise the rent by more than is stated. And they can't force you to renew.

Or you can simply sign a longer term lease now.

But this is totally and solely to your advantage because if you got "an option to renew" without a stated rent what do you do if they say "Sure, you can renew, but at a 50% increase"?