{"id":2104,"date":"2022-01-25T04:51:23","date_gmt":"2022-01-25T04:51:23","guid":{"rendered":"https:\/\/uk.legalvision.com.au\/?p=2104"},"modified":"2022-08-04T23:48:59","modified_gmt":"2022-08-04T22:48:59","slug":"commercial-lease-agreements","status":"publish","type":"post","link":"https:\/\/legalvision.co.uk\/commercial-lease-property\/commercial-lease-agreements\/","title":{"rendered":"Commercial Lease Agreements in England and Wales"},"content":{"rendered":"

If you are considering leasing property for your business in England and Wales, you will need a commercial lease agreement with your landlord. Most aspects of commercial lease agreements are negotiable, including your rent and lease term. This article explains the key provisions you should include in your lease and what you will need to consider before signing.<\/span><\/p>\n

Types of Leases in England and Wales<\/span><\/h2>\n

In England and Wales, there are broadly two types of leases:<\/span><\/p>\n

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  1. residential lease for renting somewhere to live; or\u00a0<\/span><\/li>\n
  2. commercial lease for renting property<\/a> for business purposes.\u00a0<\/span><\/li>\n<\/ol>\n

    You will use a commercial lease if you want to rent somewhere to carry out business in England and Wales.<\/span><\/p>\n

    Commercial lease agreements will either be short-form or long-form, depending on the type of property you are renting. Long-form leases are common for complex and high-value lettings like an entire business premise. Conversely, a short-form lease is typical for most lettings of office space and retail or industrial units.\u00a0<\/span><\/p>\n

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    Indeed, commercial property in England and Wales have different classes, depending on what the property is being used for or its intended use for new properties. Importantly, ensure that the property class allows you to use it as you intend. If the property is in a different class, you need to apply for planning permission for a change of use.\u00a0<\/span><\/p>\n<\/div>\n

    For example, suppose you want to turn a retail shop into a takeaway or gym. Since 1 September 2020, most commercial business properties fall into Class E, covering most Commercial, Business or Service uses. With a commercial lease, you can negotiate with any prospective landlord so that you can both agree on terms that you are happy with.<\/span><\/p>\n

    Negotiating Your Lease<\/span><\/h2>\n

    Before you consider renting a commercial property, think about what you need the property for and ensure that the property and location you are interested in will be suitable for your business. Your landlord will likely have elements they are unwilling to negotiate on. Therefore, you should also consider what you are and are unwilling to negotiate on.\u00a0\u00a0<\/span><\/p>\n

    Some elements you might want to consider negotiating for are:<\/span><\/p>\n