Commercial Lease Solicitors York, Wetherby & Malton
A commercial lease is the principal document that sets out the contractual relationship between the owner of a property (the landlord) and the occupier (the tenant). The content of the lease will vary depending on the type of property, its condition, the relationship between the landlord and the tenant and the state of the property market.
Whether you are a landlord or a tenant, having the right terms and protections in your lease is essential and we can ensure this is the case. At Ware & Kay Solicitors, we have expertise in advising both landlords and tenants with all aspects of their commercial lease. For commercial tenants, it is important that the provisions are not too strict or demanding while for landlords, it is important to make sure the terms of the lease protect the interests of the business.
The key areas covered by a lease include the following:
Term - it will be necessary to agree the length of time in which the property will be occupied. A tenant will need to consider its business needs. A shorter lease would provide more flexibility, but a longer lease would give greater security.
Rent - the annual rent is likely to be subject to review at certain stages, for example, every five years. The most common way is an open market rent review, which means the rent will be adjusted to reflect the current level at the date of the review. A rent deposit may be required.
Break Clauses - these can offer flexibility in terminating the lease before the end of the contracted term either at a specific point or on a rolling basis by giving a certain period of notice.
Repairs and Alterations - the lease may be a "full repairing lease", which means the tenant is responsible for repairs both inside and out. If planning to make alterations, these need to be discussed with the landlord.
Permitted Use - tenants need to ensure the chosen premises are suitable for their intended purpose and have the required planning permission. If the property becomes unsuitable, it would typically be the case that there is the ability to assign or sublet the property to another organisation.
Security of Tenure - as long as not specifically excluded, under the Landlord and Tenant Act, a business tenant will have the right to call for a new lease when the current lease expires.
Forfeiture - this clause allows a landlord to bring a lease to an end if a tenant defaults on any of the terms.
It should be noted that property granted under a new lease must meet minimum energy efficiency standards.
Contact our Commercial Lease Lawyers in Yorkshire
At Ware & Kay, Solicitors, we can advise and assist both landlords and tenants whether it be a new lease, taking up an existing lease, or the sale or purchase of a business that includes the transfer of premises. We provide practical, effective and pro-active advice.
To find out more about our Commercial Property services and how we can help you, call us today on 01904 716000 (York) or 01937 583210 (Wetherby) or 01653 692247 (Malton), or complete our online enquiry form and we will get back to you right away.