New MEES Regulations launching on 1st April 2023; Guidance for Commercial Property Landlords
With growing concerns about climate change, there has been an increased focus on improving the...
Commercial Property
Are you facing challenges relating to your commercial property? Whether you are a landlord renting out your property or you are a tenant within a commercial property, situations can arise where you may not see eye to eye with the other party. It is imperative that should this happen, you aim to resolve any disputes swiftly to enable the commercial relationship to proceed and reduce any detrimental impact to your business.
Our dedicated Landlord and Tenant Dispute Resolution department is here to provide you with expert guidance and assistance. If you are a landlord seeking to resolve tenant-related issues or you are a tenant navigating property disputes, we will help you find effective solutions.
There are various reasons why a dispute may arise between landlord and tenant including, but not limited to, the following:
Our lawyers will take the time to listen to your situation, review the necessary documentation and advise as to the best approach to resolve the dispute as quickly and efficiently as possible. Whether that is through mediation, arbitration or an alternative solution, our Dispute Resolution Solicitors appreciate that there is no one size fits all solution to resolving disagreements and will tailor their approach accordingly.
There are complex rules and regulations regarding the eviction of residential tenants, however for commercial tenants the rules are a little less stringent. The grounds largely amount to whether there has been a breach of a lease or licence to occupy.
Commercial property tenancies often require a rent deposit which can be governed by a standalone Deposit Deed. This will stipulate:
Landlords might retain a deposit due to unpaid rent, damages beyond normal wear and tear, unperformed repairs, or violations of the lease agreement.
If the amount of deposit being held does not cover the full amount owed, the landlord may have recourse to recover the monies by way of a money claim through the Courts. They may also be able to terminate the tenancy or lease. Whether you are a landlord or tenant with questions about a deposit retention or rent arrears, we are here to provide our advice as to the most advantageous way to proceed for both parties involved.
Whilst a commercial lease will stipulate a term with a clear end date, not all leases will automatically end on this date. For some leases, Part II of the Landlord and Tenant Act 1954 applies and will give the tenant a right to request a new lease or will allow the landlord to request that the tenant enter into a new lease.
If agreement cannot be made between the landlord and the tenant, an application can be made to the Court for a decision as to whether a new lease should be granted and, if so, what the terms of that new lease should be. A landlord can oppose a tenant’s request in limited circumstances, which we can discuss with you whether you are the landlord or the tenant involved.
Should the Court grant a new lease, the terms will often be aligned with the original lease, except rent which relies on current market value.
It is ordinary for the terms of a lease to assert that the property should be returned to the landlord in a certain condition at the end of the lease term. This will either be referenced within a Schedule of Condition or there will be clauses within the original lease stating who is responsible for each aspect of maintenance and repair of the property.
When the lease is coming to an end, it is best practice for the landlord to serve an interim schedule of dilapidations setting out the works to be completed by the tenant before handing back the property. Should the tenant fail to comply with the schedule, the landlord can bring a claim, after the expiry of the lease, for the costs of the works that should have been carried out.
Our team are here to advise should you be a landlord who has had your property returned without the necessary maintenance completed by your tenant, or a tenant who has been served with what seems to be an unreasonable schedule of dilapidations.
Having a dispute arise between landlord and tenant will be incredibly disruptive to your business and potentially your finances. Seeking legal advice at an early stage can make all the difference in protracted discussions or a swift resolution. Contact our Landlord and Tenant Dispute Resolution team in Andover, Romsey, Salisbury, Totton and Witney today using the Contact form, emailing info@parkerbullen.com or calling your local office:
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