For agents and brokers

Anatomy ofa lease

The clauses that matter most to a business tenant, and what we look for in each one before you sign.

  1. Clause 1

    Term and renewal

    How long the lease lasts, and whether you have the right to renew at the end. Many leases exclude the renewal rights of the Landlord and Tenant Act 1954; we explain what that means for your business.

  2. Clause 2

    Rent and rent review

    What you pay and when, and how the rent can change. We check whether reviews are upward only, linked to an index or to the open market, and how disputes are settled.

  3. Clause 3

    Break clause

    When you can end the lease early, and the conditions you must meet. Strict conditions can make a break hard to use, so we negotiate them before you sign.

  4. Clause 4

    Repair

    What you must repair and leave behind. A schedule of condition can limit your obligation to the state of the premises when you move in, which can save a great deal at the end.

  5. Clause 5

    Service charge

    Your share of the costs of the building. We look for caps, exclusions and fair apportionment so you are not paying for the landlord’s improvements.

  6. Clause 6

    Use and alterations

    What the premises can be used for, and the changes you can make. Both need to fit your business today and as it grows.

  7. Clause 7

    Assignment and subletting

    Whether you can pass the lease on or share the space, and on what terms. Flexibility here protects you if your plans change.

  8. Clause 8

    Deposit and guarantees

    The security the landlord asks for, such as a rent deposit or a personal guarantee, and when it is returned or released.

Commercial leases, answered

Do you act for landlords?

No. We act only for tenants, so our advice is always on your side of the table.

What does the fixed fee cover?

Reviewing the heads of terms and the draft lease, negotiating the key terms, reporting to you in plain English, and completing the lease. The fee is £1,999 plus VAT (£2,398.80). Disbursements, such as Land Registry fees or Stamp Duty Land Tax where they apply, are set out in your quote.

What are heads of terms?

A short summary of the main commercial points agreed with the landlord, such as rent, length and break dates. It is worth having us review them before the lease is drafted, as they set the starting point for negotiations.

Should my lease be inside or outside the 1954 Act?

A lease inside the Act usually gives you the right to renew at the end of the term. Many landlords ask for it to be excluded. We explain the effect on your business so you can decide, or negotiate, with your eyes open.

Do I need a survey?

Often, yes, particularly where you take on repair obligations. We can tell you when a survey or a schedule of condition would protect you.

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