- Update/Intermediate *5 hours CPD
The clauses and schedules of a commercial lease which deal with rent review and service charge are among the most difficult to draft and to negotiate (as well as to interpret, once the lease has been granted). This practical course will focus on the most important issues for those advising the landlord and the tenant respectively, highlighting drafting issues and using example clauses, as well as dealing with all the recent cases.
Rent Review
- Upwards only or another alternative?
- Are the premises to be let as a whole or in parts?
- The terms of the hypothetical lease:
- The length of the term
- The premises demised
- Rent-free periods and "headline" rents
- Break clauses and the effect on rent review
- Assumptions
- Disregards
- Time of the essence
- Expert or arbitrator?
- The mechanics of reviewing the rent
Service Charge
- Methods of apportioning the service charge between tenants
- Items which the landlord will wish to cover in the service charge
- Items which the tenant will wish to exclude from the service charge
- Sweeper clauses
- VAT
- Inter-action between the service charge clause and the landlord's covenants
- Suspension of rent
- Service Charges in Commercial Property: the RICS Code of Practice