… Don’t Get Caught Out!
The fall of Comet last month did not just impact on the 6000 employees of the company. Many creditors will have been affected, as will some of the landlords of the 200+ stores currently rented by the electrical retailer.
Whilst Comet has probably been a model tenant over the years, for many landlords who operate on a much smaller scale the early determination of a lease by a tenant can cause a major headache when it becomes apparent that it is more than just the rent payment clause which has not been complied with.
Landlords should make it a priority to satisfy themselves that their tenants are complying with the terms of their leases relating to repair, maintenance and redecoration throughout the whole of the time they are in occupation. The terms are there for a reason – to protect the landlord’s property – and landlords should not feel awkward about exercising their rights to enter and inspect their property even where they have a good relationship with their tenant.
Issues of property disrepair can be resolved, but often at some cost to both of the parties to the lease. The best advice for all landlords is to understand the terms of the lease they have granted and then to actively “manage” their investment to prevent a nasty shock later on down the line.
Please feel free to contact David Tear, head of Property Litigation, for further advice in this area:
01535 613 668 or firstname.lastname@example.org
Partner, Head of Property Litigation