Business properties provide tenants with a trading opportunity and an investment opportunity for proprietors. It is crucial that the lease on the property be executed accurately and that both the proprietor and tenant have a clear understanding of the obligations they are assuming.
Complete Clarity possesses considerable expertise in representing tenants and proprietors in the drafting, ratification, and finalisation of fresh leases encompassing various categories of commercial real estate, in addition to any supplementary contractual arrangements that may be desired.
Leases – Tenants
As a commercial tenant, you should seek guidance early on regarding the provisions of your commercial property lease to ensure that they are suitable for your company. Specifically, you should consider the repair and payment obligations that you assume, as well as the dilapidation obligations that arise at the lease’s conclusion.
Numerous commercial establishments, including offices, stores, and other properties, are leased for periods of five, ten, or fifteen years or longer. These leases are predominantly FRI (full repairing and insuring) leases. This means that throughout the lease, you, the tenant, are responsible for repairing and maintaining the premises and for covering any insurance expenses incurred by the landlord. You are essentially liable for the rental property, in addition to the rent, rates, utilities, and any applicable service charges. It is advisable to approach FRI leases in the same manner as a property purchase, conducting all necessary due diligence checks.
At the commencement of the tenancy, our Commercial Real Estate Group can negotiate lease terms on your behalf, revising and reaching an agreement on terms as necessary and handling lease registration and Land and Building Transaction Tax (LBTT) concerns. We are also capable of managing any supplementary agreements that your organisation may require, such as rent deposit agreements and licenses for works. Throughout the lease, we are available to assist with any disputes involving rent reviews, minutes of extension, or the termination process.
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We understand that every business legal transaction is unique, which is why we offer a tailored service that is designed to meet your specific needs.
License to Occupy
A less formal legal arrangement than a lease, a Licence to Occupy gives non-exclusive occupancy of a property for a specified period. It is utilised more frequently in England than in Scotland for main street shops, offices, and multi-tenant buildings, as it provides greater flexibility for both landlords and tenants.
We can draft arrangements and guide the suitability of a Licence to Occupy for your commercial property. Alternatively, should you be presented with a Licence to Occupy agreement as a tenant, we can assist you in reviewing its terms to ensure that they are suitable for your circumstances.
Breach of Obligation
Duties are shared by the lessor and lessee in the context of a commercial lease. A transgression of these by either party could potentially result in a contractual dispute and litigation. Breaches may involve the following concerns:
- Noncompliance by the landlord with agreed-upon commercial building maintenance
- The tenant falls behind on rent payments; if the lease contains an irritability clause, this could result in tenancy termination.
- Tenants entering into liquidation may have priority claims on landlord-owned assets under the landlord’s hypothec rights.
Our team is capable of assisting in all facets of construction and real estate disputes, including contract disputes and the implementation of agreed-upon terms. We provide alternative methods of resolving conflicts, including mediation, in addition to facilitating your participation in an adjudication process or representing you in court, if desired.
How can Complete Clarity Help? – Contact Us for Legal Advice from Solicitors Glasgow
Concerning the preparation, modification, and finalization of fresh leases for commercial properties of every kind throughout the United Kingdom, Complete Clarity has substantial expertise in representing both lessees and lessors. Moreover, we are capable of handling concerns that arise during the transfer of an interest by either party or the review or extension of existing arrangements.
To prevent any unforeseen circumstances such as rent reviews, necessary maintenance, or lease terminations, we diligently draft your lease agreement using precise and unambiguous language.
To enable tenants to make well-informed decisions regarding the proposed terms, we will ensure that the risks associated with commercial leasing are thoroughly explained to you.
To document the progression of alterations that transpire throughout a lease, we can also provide landlords with an extensive selection of property management documents that are widely recognised in the industry.
Comprised of dual-qualification solicitors in English and Scots law, our multi-site team of commercial property solicitors possesses substantial expertise in estate and portfolio administration.
Whether you are a landlord or a tenant, contact the Complete Clarity Commercial team at 0141 433 2626 or fill out the online inquiry form and we will get back to you. We can assist you with commercial property leases and other commercial property services.
