Commercial Property

When a lease to a business tenant runs out, in most cases it simply continues on the old terms until either the landlord serves a notice to end it or the tenant serves a notice asking for a new lease.
These notices must comply with certain requirements and be in a specific form set down by law. In some cases the tenant has no right to a new lease.

We will check your current lease and advise you which applies to you and what procedure to follow.
In some cases either the landlord or the tenant can apply for an interim rent to be set whilst negotiations continue.

Landlords

Serving any necessary notice to bring the old lease to an end; preparing and completing the new lease.
We can advise you if you have grounds to object to the tenant having a new lease.
If most of the terms remain the same with only the period of the lease and the rent changing this can often be effected by a short document.

Tenants

Serving notice requesting a new lease, negotiating the terms and wording of the new lease, dealing with any Stamp Duty Land Tax return and, where appropriate, registering it with the Land Registry.

Existing leases can be transferred (or assigned), but usually you will need a licence (written consent) from the landlord. This allows the landlord to check on the incoming tenant, but the landlord cannot be unreasonable or delay granting consent.

Usually the landlord will ask for his legal costs to be paid by the tenant who requests the consent.

In some cases the landlord may be concerned that the tenant may not pay the rents on time or even at all. This may be because the business is a limited company, or is a new business, or cannot provide satisfactory references.

The landlord may ask for additional rent to be paid in advance (a rent deposit). This will be kept by the landlord as security on terms recorded in a Rent Deposit Deed.

In other cases the landlord may ask for a guarantee from another individual. Anyone asked to provide a guarantee should take separate advice about the possible consequences of giving a guarantee.

At Ridley & Hall we believe it is important for you to know from the outset what you are likely to have to pay for the work we do on your behalf.

Once we have all the details needed to estimate the amount of time we will need to spend dealing with the lease for you, we will confirm our costs to you in writing. Providing your instructions do not change significantly we will keep to the estimate. If circumstances do change, for example if additional documents such as rent deposit agreements need to be produced or checked, then we will advise you in writing of any change to the estimate.

We will also advise you in writing if you will have to pay Stamp Duty Land Tax on the lease (and if so how much).

Some leases should be registered at the Land Registry. We will advise you of any Land Registry fees that may be payable.

Please complete the enquiry form for an indication of our costs.