Wikman

In this appeal we determine the propriety of the trial court’s interpretation of a lease option renewal provision silent as to the time within which the option could be exercised. Based upon the parties’ past relationship and the lessee’s conduct in improving the property, the court found the lessee’s payment of increased rent five days after the initial lease term expired constituted a valid exercise of the option. The record does not support the court’s decision on that ground but the judgment must be affirmed nonetheless. We conclude the lessee’s continued possession of the property was sufficient to exercise the option.

I

The pertinent facts are not in dispute. Appellants, the Wikmans, are the owners of real property located at 520 South Harbor Boulevard in Santa Ana. In 1978 they leased the premises to respondent ADV for the purpose of conducting a used car sales operation. The written lease agreement provided for a term of five years at a rental of $1,300 per month. It also included an option to renew for an additional five years at a rental of $1,600.

On April 1, 1983, the Wikmans served ADV with a mailgram, stating: “Lease expired on 520 South Harbor Boulevard,…