As a commercial tenant, it is easy to overlook the obligations owed to the landlord under the lease. This is particularly so when the lease is due to end and the tenant is considering the difficulties associated with relocating. This article picks out some of the key issues a tenant should be alive to in these circumstances so that careful planning can take place in advance of the expiry of the lease.
Giving up possession of the property
Most leases contain an express obligation requiring the tenant to yield up the property to the landlord at the end of the lease. Some clauses are more detailed than others but they normally (although not always) require the tenant to give up possession of the property, comply with their obligations under the lease and remove their fixtures and fittings. Points to consider are set out below:
Giving up possession
Whether or not the lease expressly requires it, it is considered that a term will be implied into the yielding up provision which requires the tenant to give vacant possession of the property when the lease expires. The words vacant possession have a technical meaning although the law is not entirely clear as to what that meaning is. Advice should always be obtained, but,