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Can I alter the commercial property I am leasing?

  • Commercial Law
September 21 , 2018
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September 21 , 2018
September 21 , 2018

Can I alter the commercial property I am leasing?

  • Commercial Law
September 21 , 2018
  • Commercial Law
September 21 , 2018

Provision for alterations is included in most commercial property leases.  However, the landlord may try to restrict them or impose several obligations on a tenant who wishes to alter the property for commercial purposes. Most leases contain restrictions on the type of alterations allowed and structural or major alterations are frowned upon, since they can affect the value of a property in the long run.

If you want to proceed with a commercial property lease and you think that major alterations would benefit your business, you need to consult with Saracens Solicitors London commercial lease solicitor. Not only will we review the draft contract carefully, but we will also advise you on the best approach to negotiate with a potential landlord.

Why is it important to deal with alterations in a commercial lease?

Commercial leases carry alteration restrictions, because otherwise tenants would feel free to carry out any alterations they want without necessarily considering the wishes of the landlord or taking into consideration the structural peculiarities of the building. Tenants are also legally bound not to produce waste or make alterations to structures beyond the end of the lease. Most commercial leases contain repair restrictions. If you think that the property would benefit from repairs, it is worth discussing your plans with the landlord. While their priority is to protect the value of the property, if you convince them with the help of your London commercial lease solicitor that your repairs will be beneficial, they might be easily convinced.

Some things to consider when negotiating alterations

If you are about to negotiate property alterations with your landlord, you should consider the length of the term. This is quite important, since short-term commercial leases are less likely to include favourable alteration terms. Moreover, if the property is really old, it might not be worth it to spend a lot of money on alterations; instead, it is the landlord’s responsibility to ensure that everything is working properly. Even when consent for certain alterations is not necessary, your London commercial lease solicitor will advise you to always notify your landlord in advance in order to avoid adverse reactions.

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