If both the tenant and landlord are happy to continue with the rental of the property in question, then the chances are that a lease renewal will be a definite conclusion for both parties. There are a number of things that need to be considered before settling on the specifics, as the current economic climate and the time of year are both major factors that need to be taken into account.
In order to conclude the proceedings in a quick and efficient manner, it is crucial that the negotiations are fully understood, and if you do find that you or the other party is looking to make amendments, then they need to consider the implications that it could have. In some cases, you may even want to consider taking on the help of a chartered surveyor specialising in lease advice to guide you through the lease renewal process.
What needs to be considered when negotiating a lease?
When it comes to negotiating or re-negotiating the lease of a property, there are a number of considerations that you will need to take into account before settling on a decision. Some common issues that you might be interested in settling before drawing up the final lease contract include:
- Rent value: deciding the value of the rent can be quite a tricky process, but one way to get around this is to have a proper valuation done on the property, as it helps to ensure that you are receiving the correct amount. This is beneficial for both the tenant and the landlord so they know they aren’t being priced out
- Other costs: what is the situation with insurance, service charges, rates, and utility supplies (electric, gas, heating, for example)?
- Contract length: you should decide upon how long you want your lease to last, whether it’s year-on-year or a set length. This can be useful to know, so you don’t have to tie yourself down if you are only interested in the short term.
- Conditions of lease: if you have any specifics that need to be discussed, then this can help you locate the target demographic for your property For instance, the nature of the business of the tenant may conflict with the businesses of tenants next door State of property: you should outline and record the current state of the property and ensure that it is kept that way.
If you are unsure about how to go about renewing a lease on your property or simply need some advice, then Roger Hannah & Co. are here to help, as we will give you step-by-step guidance throughout the lease renewal proceedings. If you would like our expert advice, then simply contact us today on 0161 817 3399 or see our Lease Advisory Page to see how we can help you.