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commercial lease

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  • ps2659
    ps2659 Posts: 534 Forumite
    Part of the Furniture 100 Posts
    I have just read through the lease and all I need was opinions as to what steps to take with the tenant when I meet in the next few days 
    The lease has no break clause and almost 6 months into the new 3 year lease. 
    The lease states that section 24 to 28 of the Landlord and Tenant act 1954 are not apply to a business tenancy therefore the lease ends after the 3 year period and the tenant has no right to stay after the lease ends.
    I just want to know the best way to be fair to the tenant and myself on the way forward. 
  • MWT
    MWT Posts: 10,274 Forumite
    10,000 Posts Fifth Anniversary Name Dropper
    ps2659 said:
    I just want to know the best way to be fair to the tenant and myself on the way forward. 
    How easy do you think it will be to get a new tenant, and how long do you think that will take?
    When they signed, you expected them to be paying you for 3 years and they expected to be paying you for 3 years, so that is the starting point on 'fair' and what you are entitled to under the lease.
    If you know it will be easy to replace them then you can offer them something better than paying off the lease in full, but that is a judgement call only you can make...

  • user1977
    user1977 Posts: 17,915 Forumite
    10,000 Posts Seventh Anniversary Photogenic Name Dropper
    edited 11 May at 12:53PM
    And conversely, often a landlord will be delighted to see the back of a tenant and pay them to leave - you might have redevelopment plans or think you can get a better rent from a new tenant.

    if you wanted professional advice I’m sure a surveyor would assist.

    (also I’m not sure why this is on the mortgages board - is there a lender involved?)
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