At Hill & Abbott Solicitors we understand the importance of getting the legal element right. We set out below some of the important questions you should be asking if you are:
- Thinking of renting out premises to a business tenant?
Granting a lease gives your tenant extensive rights over your property. Getting it wrong can be extremely expensive. We can offer advice tailored to your needs.
Here is a checklist of some of the areas you need to consider:
- Is the lease period right for you – can you get the tenant out if the tenant proves troublesome or your circumstances change? Business tenants will usually be entitled to remain in your premises unless you take the correct steps to limit their rights before you first let them into occupation.
- What repairing obligations is the tenant taking on – you could be responsible for repairs.
- Who is responsible for insuring the premises? What happens if the premises burn down? Would you be able to recover rent even though the premises could not be used?
- Is there a service charge – how much can you charge?
- Is the rent subject to review? If so, what happens if you disagree with the tenant as to the revised rent?
- Who is responsible for rates etc?
- Do you need some security if the tenant cannot pay the rent? If so, what is the best way of protecting your interests?
- Can the tenant transfer the lease to a third party or sub-let the premises? If so, on what terms.
- Can the tenant make any alterations to the premises or can you stop them?
- What happens if there is a problem with contamination? You could be responsible for pre-existing pollution.
- What happens if the planners or a statutory body (e.g. health & safety or fire officer) requires work to be done? Can you be liable?
- What steps are open to you if the tenant does not comply with the terms of the lease? A well drafted lease will give you additional protection
This list covers only some of the areas where specialist advice is so important.
Getting it wrong can cost you significant sums of money. We have extensive experience of advising landlords and can guide you through the process.
For more details please contact us using the details below.