When proposing to lease a Residential, Commercial or Industrial property Kirkby & Diamond Chartered Surveyors would advise potential occupiers to seek professional advice.
Prior to signing a new lease it is essential that occupiers fully understand the requirements of the repairing covenants and the financial implications of not complying with them.
Currently there are two main variations of Leases on the market, these are:-
- Fully repairing and insuring (usually for periods in excess of 5 years).
- Leave in no better, no worse condition (usually for periods up to 5 years) and limited to a Schedule of Condition which is attached to the Lease.
So as to minimise the exposure when considering Option 1 above, Kirkby & Diamond would recommend that a Pre Acquisition Survey of the property is commissioned, including the Mechanical and Electrical Installations. This document will assist you with negotiations.
So as to minimise the exposure when considering Option 2 above, it is recommended that the preparation of a Schedule of Condition of the property is commissioned, including the Mechanical and Electrical Installations.
To assist in the planning for repair and redecoration expenditure over the term of the lease Kirkby & Diamond are able to prepare a maintenance plan.
When approaching the end of the term the Landlord’s Surveyor will visit to prepare a Terminal Schedule of Dilapidations, or in other words a list of items where it is felt that the occupier has not met with the repairing covenants etc.
Again, K&D will be pleased to assist with a review of the Schedule of Dilapidations, which will lead to the minimising of the occupier's financial exposure in a settlement.
Whatever the requirement client's can rest assured of the professional, quality service provided by Kirkby & Diamond Chartered Surveyors, members of the RICS Dilapidation Forum.