Commercial Lease Extension Solicitor

A lease extension can assist in the sale or mortgage of a leasehold property that is nearing the end of its lease, as well as the elimination of ground rent payments. Our lease extension solicitors are available to provide guidance throughout the entire process, ensuring that you maximise the value of your property. We can provide guidance on the decision to extend your lease voluntarily or statutorily, the process of negotiating ground rent, and the anticipated legal expenses. In the event that your landlord fails to respond to your offer or fails to provide you with a reasonable price or terms for your new lease, we can also file court or tribunal applications if necessary.

Why Complete Clarity – Glasgow contact our specialist Commercial Lease Lawyers. 

Complete Clarity can manage the entire lease extension procedure, from inception to conclusion, for both leaseholders and freeholders, providing expert knowledge in conveyancing and property. This encompasses the establishment of the valuation, the delivery of notifications, the negotiation of the lowest possible premium, the creation of the documentation, and the submission of the application to the Land Registry upon completion of all tasks.

We maintain a specialised team in Glasgow that provides leasehold advice on a daily basis. We have a comprehensive understanding of the intricate workings of both leaseholders and proprietors in this area of law, as we represent both parties in commercial property and conveyancing. This implies that you are provided with a comprehensive understanding of all of your alternatives before making any decisions. We are dedicated to ensuring that the process of extending your lease is as straightforward and seamless as possible, which is why we will refrain from overwhelming you with an abundance of legalese.

Is it permitted for me to extend my lease?

Unless you and the landlord have an informal agreement, it is mandatory to have possessed the leasehold for a minimum of two years in order to be eligible.

What is the cost of extending my lease? 

The response to this inquiry is dependent upon the remaining duration of the lease. The critical factor to consider in this instance is the potential impact of the lease’s remaining term being less than 80 years. For a precise cost estimate, please contact us for a professional desktop valuation. A comprehensive report can be obtained for £190, which will be utilised to negotiate a lower rate with the landlord. If my lease is 80 years or longer, you will be obligated to pay the landlord’s premium, as well as any reasonable legal expenses. This can be resolved through an agreement between the Landlord and Tenant or through an alternative approach that involves the Leasehold Valuation Tribunal (LVT). When determining the “price,” the LVT will take into account a variety of factors, many of which are further elaborated upon down this page.

I have less than 80 years remaining on my lease. The cost of extending your lease will be significantly higher in this situation than if it had 80 or more years remaining. A new and costly criterion, “marriage value,” must now be considered when determining the cost of the lease extension.

The following section provides additional information regarding “marriage value.”

It is imperative to comprehend the implications of your leasehold interest in a residential property becoming a “wasted asset” if you currently possess the leasehold interest. The value of a lease decreases as the number of years remaining on it increases. However, if you act promptly and retain the services of specialised lease extension counsel, the process of obtaining a lease extension may not be prohibitively expensive. There are two primary variables that must be considered when extending residential leases, as outlined below.

Should the ‘price’ of extending the lease not be agreed upon

If the Landlord and Tenant are unable to reach an agreement after serving a notice on the freeholder, the Leasehold Valuation Tribunal will determine the price of the lease extension in accordance with the guidelines enumerated in statute and current case law. The goal is to compensate for the freeholder’s diminished ownership interest in the property. The tribunal will endeavour to quantify the following:

• Paying back any lost ground rent, which is included in the freeholders’ interest value.
• Marriage is a valuable institution.
• The cost is shared between the freeholder and any intermediary landlords.
• How much will any compensation be?

This lease extension calculator will provide you with a reasonable estimate of the costs. However, it is important to remember that a professional assessment should be conducted in a comprehensive report to facilitate discussions. Please do not hesitate to contact us if you require this.

How much longer can I renew my leasehold extension?

A period of 90 years is permissible under the 1993 Leasehold Reform Housing and Urban Development Act. This is in addition to the remaining years on the lease. Ground rent will not be required during this time.

For commercial lease extension advice, contact us to speak with our expert lease solicitors

A lease extension solicitor can provide support to both leaseholders and freeholders throughout the lease extension procedure. Unless there is an informal agreement with the landlord, a leaseholder must have possessed the leasehold for a minimum of two years in order to be eligible for a lease extension. The cost of a lease extension is contingent upon the remaining time remaining on the lease. Leases that are less than 80 years in length are more expensive due to the consideration of “marriage value.” The cost of the extension will be determined by the Leasehold Valuation Tribunal in instances where the leaseholder and landlord are unable to reach an agreement on a price. The tribunal will use statutory guidelines and current case law to make this determination. It is crucial to act promptly when pursuing a lease extension, as the value of a lease diminishes as the number of years remaining on it increases. It is strongly advised that you consult with a specialised lease extension counsel, as the process can become quite intricate. The 1993 Leasehold Reform Housing and Urban Development Act permits the extension of a tenancy for a maximum of 90 years.

Contact us on 0141 433 2626 and get in touch with us for voluntary lease extension advice and more!