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destone
Posts: 3 Newbie
We are in the process of purchasing a 2-bed, 2-bath flat and we obtained a copy of the lease between the vendor and the landlord.
We would like to have the flexibility to:
1. Let the whole flat through AST
2. Let the second bedroom only through AST
3. Short let on Airbnb the whole flat
4. Short let on Airbnb just the second bedroom only
I copied in parts of the lease below that address sublets etc.
Could someone with experience in leases give an indication as to whether we would face any difficulties should we want to exercise any of the options outlined above?
5.9.2 Assignment, subletting and charging of part
5.9.2.1 The Lessee must not assign, sublet, part possession of, or charge part only of the Flat.
5.9.2.2 The Lessee must not sublet the whole of the Property except by way of an assured shorthold tenancy or some other of tenancy in relation to which the subtenant is not entitled to security of tenure following service on him of notice in accordance with the requirements of any applicable statute and except where the subtenant agrees with the Landlord to perform and observe the obligations on the part of the Lessee contained in this Lease other than the obligations to pay Rent and Service Charge.
5.9.2.3 The Lessee must not assign the whole of the Premises without the consent of the Landlord, whose consent may not be unreasonably withheld or delayed.
5.9.3 Registration of permitted dealings
Within 28 days of assignment, charge, sublease or any transmission or other devolution relating to the Flat, the Lessee must produce a certified copy of any relevant document for registration with the Landlord's solicitor, and must pay the Landlord's solicitor's reasonable charges of registration of at least £50.00 plus VAT.
We would like to have the flexibility to:
1. Let the whole flat through AST
2. Let the second bedroom only through AST
3. Short let on Airbnb the whole flat
4. Short let on Airbnb just the second bedroom only
I copied in parts of the lease below that address sublets etc.
Could someone with experience in leases give an indication as to whether we would face any difficulties should we want to exercise any of the options outlined above?
5.9.2 Assignment, subletting and charging of part
5.9.2.1 The Lessee must not assign, sublet, part possession of, or charge part only of the Flat.
5.9.2.2 The Lessee must not sublet the whole of the Property except by way of an assured shorthold tenancy or some other of tenancy in relation to which the subtenant is not entitled to security of tenure following service on him of notice in accordance with the requirements of any applicable statute and except where the subtenant agrees with the Landlord to perform and observe the obligations on the part of the Lessee contained in this Lease other than the obligations to pay Rent and Service Charge.
5.9.2.3 The Lessee must not assign the whole of the Premises without the consent of the Landlord, whose consent may not be unreasonably withheld or delayed.
5.9.3 Registration of permitted dealings
Within 28 days of assignment, charge, sublease or any transmission or other devolution relating to the Flat, the Lessee must produce a certified copy of any relevant document for registration with the Landlord's solicitor, and must pay the Landlord's solicitor's reasonable charges of registration of at least £50.00 plus VAT.
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Comments
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1) Acceptable if you get permission and then send a certified copy of the AST, with £50+ plus VAT, to the freeholder's solicitor.We are in the process of purchasing a 2-bed, 2-bath flat and we obtained a copy of the lease between the vendor and the landlord.
We would like to have the flexibility to:
1. Let the whole flat through AST
2. Let the second bedroom only through AST
3. Short let on Airbnb the whole flat
4. Short let on Airbnb just the second bedroom only
I copied in parts of the lease below that address sublets etc.
Could someone with experience in leases give an indication as to whether we would face any difficulties should we want to exercise any of the options outlined above?
5.9.2 Assignment, subletting and charging of part
5.9.2.1 The Lessee must not assign, sublet, part possession of, or charge part only of the Flat.
5.9.2.2 The Lessee must not sublet the whole of the Property except by way of an assured shorthold tenancy or some other of tenancy in relation to which the subtenant is not entitled to security of tenure following service on him of notice in accordance with the requirements of any applicable statute and except where the subtenant agrees with the Landlord to perform and observe the obligations on the part of the Lessee contained in this Lease other than the obligations to pay Rent and Service Charge.
5.9.2.3 The Lessee must not assign the whole of the Premises without the consent of the Landlord, whose consent may not be unreasonably withheld or delayed.
5.9.3 Registration of permitted dealings
Within 28 days of assignment, charge, sublease or any transmission or other devolution relating to the Flat, the Lessee must produce a certified copy of any relevant document for registration with the Landlord's solicitor, and must pay the Landlord's solicitor's reasonable charges of registration of at least £50.00 plus VAT.
2) unacceptable (part only)
3) unacceptable (not AST)
4) unacceptable (part only and not AST)
Note: option 2. If your intention is to have a lodger in th 2nd bedroom and occupy the 1st bedroom yourself, this would not be an AST. The lodger would be an 'Excluded Occupier' with few rights so could be easily evicted ("not entitled to security of tenure following service on him of notice"). This would be acceptable.
However if you intend to genuinely (attempt to) grant an AST for the bedroom only, perhaps letting the other bedroom on a separate AST to a different tenant, this would contravene the lease.0 -
1) Acceptable if you get permission and then send a certified copy of the AST, with £50+ plus VAT, to the freeholder's solicitor.
I don't see a requirement to get permission, you just need an undertaking by the subtenant to the (head) landlord to abide by the head lease, and to intimate it.Note: option 2. If your intention is to have a lodger in th 2nd bedroom and occupy the 1st bedroom yourself, this would not be an AST. The lodger would be an 'Excluded Occupier' with few rights so could be easily evicted ("not entitled to security of tenure following service on him of notice"). This would be acceptable.
Surely any lodger is a contravention of 5.9.2.1?0 -
If a mortgage is involved it's your lender that needs to be checked first.0
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I don't see a requirement to get permission, you just need an undertaking by the subtenant to the (head) landlord to abide by the head lease, and to intimate it.
5.9.2.3 The Lessee must not assign the whole of the Premises without the consent of the Landlord, whose consent may not be unreasonably withheld or delayed.0 -
From memory my lease had similar wording to the above but without need to explicitly agree with Landlord to obey the lease and without the last part (28 days etc). Hence my reading of my own lease was that I only needed permission and to pay a fee if I was subletting Part Only of the property rather than the whole of it.0
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I don't believe so (though having been wrong re the permission.......)Surely any lodger is a contravention of 5.9.2.1?
Since a lodger does not have 'exclusive occupation' of either the property, or of their bedroom (the LL retains rights of access), the clause would not apply.The Lessee must not assign, sublet, part possession of, or charge part only of the Flat.
Not sure what 'charge' means in this context but don't think that could alter my interpretation.0 -
Since a lodger does not have 'exclusive occupation' of either the property, or of their bedroom (the LL retains rights of access), the clause would not apply.
"Parting with possession" isn't the same as "granting exclusive occupation" though.Not sure what 'charge' means in this context
Granting a mortgage. Not likely for part of a flat, of course, but theoretically possible.0
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