Clear, commercial, results-driven advice
As a landlord, your commercial property is a crucial asset, and the lease agreement is the cornerstone of its value and your long-term investment strategy. Well-drafted commercial leases help to mitigate risks and ensure a stable income stream.
Our priority when drafting a commercial lease is to ensure your interests are fully protected, and the deal accurately reflects what was agreed.
Protecting your investment
The process of drafting commercial leases for landlords requires a keen eye for detail and a complete understanding of commercial property law. We take a clinical approach to capturing the commercial terms while anticipating potential issues down the line.
Every clause and every condition are carefully considered to work in your favour and support your long-term asset management strategy.
Key considerations for landlords:
- Rent & reviews
Establishing clear terms for rent payment and future rent reviews is essential. We advise on various review mechanisms, such as open market rent reviews, ensuring they are structured to maximise your return while remaining fair. We also consider provisions for late payment penalties and interest to incentivise timely payments.
- Repairing obligations
Defining the extent of the tenant’s repairing obligations is crucial. Leases can vary significantly, from Full Repairing and Insuring (FRI) leases, where the tenant is responsible for all repairs, to agreements where the landlord retains some responsibility. We ensure these obligations are clearly set out to prevent disputes.
- Break clauses
While break clauses offer flexibility to both parties, for landlords, they need careful consideration. We advise on how to structure break clauses to protect your income stream and minimise void periods, including conditions such as notice periods, payment of rent arrears and compliance with tenant covenants.
- Service charges
If your commercial property is part of a multi-let development, service charges are essential for recovering the costs of maintaining common areas and services. We draft robust service charge provisions that clearly outline what costs can be recovered, how they are apportioned and the procedures for collections.
Get in touch
By working with our experienced team, you can make sure your commercial leases work in your best interests, with clearly established guidelines between you and your tenant.
Should any of our Chinese-speaking clients need help with interpreting documents and understanding the advice given, we work closely with a Chinese-speaking solicitor based in Newcastle-upon-Tyne who can be called upon for support when needed.
To talk to us about commercial leases, contact us on 0191 488 8200 or email jjc@peterross.co.uk.