Commercial Lease Solicitors

A commercial lease is a long-term commitment with significant liabilities — and the terms negotiated before signing shape the entire tenancy. A solicitor will protect your position in the lease before you are bound by it.

Commercial leases are complex documents — full repairing and insuring obligations, rent review mechanisms, service charge caps, break clause conditions, alienation provisions, and dilapidations liability all create significant financial exposure for tenants. For landlords, the lease terms determine the quality and security of the investment. A solicitor will review, negotiate, and advise on the lease terms before they are agreed — and will manage lease renewals, breaks, and dilapidations disputes throughout and at the end of the tenancy.

Lease negotiation & review Break clauses & lease renewals Dilapidations & terminal schedules Free initial consultation

Commercial Lease Issues

Commercial leases — the key issues a solicitor addresses at each stage of the tenancy.

Commercial lease issues arise at the beginning (lease negotiation), during the tenancy (rent reviews, service charge disputes, assignment and subletting), and at the end (break clause, lease renewal, dilapidations). A solicitor advises at every stage.

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Lease negotiation — heads of terms and the lease itself

Commercial lease negotiations begin with heads of terms — a non-binding summary of the agreed commercial terms (rent, term, break clause, permitted use, fit-out provisions). A solicitor will review the heads of terms and identify issues before the lease is drafted, advise on the implications of full repairing and insuring obligations, cap service charges where possible, negotiate break clause conditions (the fewer pre-conditions to exercise, the better for the tenant), negotiate rent review provisions (upward-only review is standard but the trigger and mechanism matter), and ensure the permitted use is broad enough for the tenant's business plans. A solicitor will review the lease documentation and manage the negotiation through to exchange.

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Break clauses — exercising and defending

A break clause gives the tenant (and in some leases the landlord) the right to terminate the lease before the contractual term end — provided the conditions attached to the break are strictly met. Break clause conditions are construed strictly by the courts — a notice served one day late, to the wrong address, by the wrong party, or that fails to comply with the exact notice requirements of the lease will be invalid. A solicitor will advise on the correct exercise of the break — when notice must be served, to whom, in what form, and what conditions (payment of all rent, vacant possession) must be satisfied — and will ensure the notice is valid and the break takes effect.

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Lease renewal — the Landlord and Tenant Act 1954

A commercial lease protected by the Landlord and Tenant Act 1954 carries a statutory right of renewal — the tenant has the right to a new tenancy on similar terms when the existing lease expires. The landlord can oppose renewal on specified grounds (redevelopment, own occupation, persistent arrears). The renewal process has strict procedural steps — Section 25 notice (landlord) or Section 26 request (tenant) — and any court application must be made before the deadline expires. A solicitor will advise on whether the lease is protected by the 1954 Act, manage the renewal procedure, negotiate the terms of the new lease, and issue court proceedings to protect the right of renewal where the landlord and tenant cannot agree.

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Dilapidations — interim and terminal schedules

Dilapidations are items of disrepair for which the tenant is responsible under the repairing covenant in the lease. At the end of the tenancy, the landlord will typically serve a terminal schedule of dilapidations — identifying items of disrepair, their required rectification, and the cost. Dilapidations disputes are often the most contentious element of a lease end. A solicitor will advise on: whether the items in the schedule are genuine breaches of the repairing covenant (the standard of repair required is "good and tenantable," not perfect); whether the landlord's costings are reasonable; and whether the statutory cap on dilapidations liability (Leasehold Property (Repairs) Act 1938, Landlord and Tenant Act 1954) limits the claim. A building surveyor's evidence is usually needed to challenge a dilapidations schedule.

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Rent review disputes

Rent reviews in commercial leases are typically upward-only, with the rent reviewed to open market rent at specified intervals (commonly every 5 years). Disputes arise over the appropriate comparables, the assumptions and disregards to apply (ignoring tenant's improvements, for example), and the correct interpretation of the review mechanism. An independent surveyor's determination can be requested where agreement cannot be reached — and where the lease provides for expert determination, the expert's decision is generally final and binding. A solicitor will advise on the rent review process, the assumptions that should be applied, and whether an expert determination or arbitration is the appropriate route where the parties cannot agree.

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Assignment and subletting — alienation provisions

Many commercial leases restrict the tenant's right to assign (transfer the lease to another party) or sublet — requiring the landlord's consent, which must not be unreasonably withheld. A landlord who withholds consent unreasonably — refusing a financially sound and respectable proposed assignee without justification — is liable for the tenant's loss caused by the refusal. A solicitor will advise on the conditions the landlord can legitimately impose (such as a guarantee from the outgoing tenant), identify whether a refusal is unreasonable, and — where it is — pursue a declaration and damages. For tenants who need to assign or sublet to exit the lease, early legal advice avoids the risk of an invalid assignment that leaves the original tenant liable under the lease.

How It Works

A commercial lease signed without legal advice is a commitment to terms the tenant may not fully understand — and cannot easily change. A solicitor's review before signing is the most cost-effective protection available.

A solicitor will review the lease terms, advise on the obligations and risks, negotiate improvements to the drafting, and manage the legal process from heads of terms through to completion — and throughout the tenancy as issues arise.

Submit Your Request
1

Tell us about the lease and the issue

Describe the lease, the term, the current issue — negotiation, break, renewal, dilapidations — and what outcome you need.

2

Solicitor assesses the lease terms

A commercial property specialist reviews the lease, identifies the relevant provisions, and advises on the obligations, rights, and the most effective response to the current issue.

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Free initial consultation

You receive clear advice on the lease position and the realistic options — at no cost and no obligation.

Free Initial Consultation

A commercial lease is one of the largest financial commitments a business makes. A solicitor's advice — before signing, at renewal, and at lease end — protects that commitment.

Get specialist commercial lease advice — whether you are negotiating a new lease, exercising a break, renewing, or facing a dilapidations dispute.

Get Commercial Lease Advice

Common Questions

Commercial leases — what people ask us.

Can a landlord refuse consent to assign a commercial lease?

A landlord cannot unreasonably withhold or delay consent to an assignment where the lease requires consent not to be unreasonably withheld. The landlord must give a decision within a reasonable time (typically 28 days) and must not refuse on grounds that do not relate to the proposed assignee's suitability — financial standing, the nature of the proposed business, and the ability to satisfy the tenant obligations under the lease are relevant grounds. A refusal on irrelevant grounds (the landlord wants to re-let the premises at a higher rent) is unreasonable. A solicitor will advise on whether a refusal is reasonable and, where it is not, on the claim for damages arising from the unreasonable refusal.

My landlord has served a schedule of dilapidations. Is the amount they are claiming realistic?

Dilapidations schedules are frequently over-claimed by landlords — including items that are not genuine breaches of the repairing covenant, costings that exceed market rates, and items that the landlord intends to change regardless of their condition. The starting point is a building surveyor's review of the schedule — identifying which items are genuine breaches, what the reasonable rectification cost is, and whether the cap under the Leasehold Property (Repairs) Act applies. A solicitor will manage the legal dispute and coordinate with the surveyor on the quantum evidence — ensuring the tenant's liability is limited to what is actually owed under the covenant.

What happens if a commercial lease is not protected by the 1954 Act?

A commercial lease that has been contracted out of the Landlord and Tenant Act 1954 (with the tenant having received the required notice and sworn a declaration before signing) does not carry a statutory right of renewal. When the lease expires, the tenant has no right to remain — the landlord can require the premises to be vacated. The tenant's only option is to negotiate a new lease on whatever terms the landlord is willing to offer. A solicitor will advise on the contractual rights that remain — notice periods, break clauses, and any non-contractually protected rights — and on the negotiation of a new lease where the landlord is willing to re-let.

How is the break clause in my commercial lease exercised?

The break clause sets out precisely how the break must be exercised — the notice period required (usually 6 months), the form of the notice, the address to which it must be sent, and any conditions that must be satisfied (vacant possession, payment of all rent). Every requirement must be strictly met. A notice that is even one day short of the required notice period, or that is sent to the wrong address, is invalid — even if the landlord actually receives it in time. A solicitor will identify the exact requirements of the break clause and ensure the notice complies with every one of them.

Can I use commercial premises for a purpose not specified in the lease?

No — the permitted use clause in a commercial lease restricts the use to the specific use stated. Using premises for a different purpose without the landlord's consent is a breach of the lease — potentially a serious breach that entitles the landlord to forfeit the lease. Where the business has changed or developed since the lease was signed, the tenant should seek a variation of the permitted use clause. A solicitor will advise on what the permitted use clause allows, whether the proposed use falls within or outside it, and how to negotiate a variation if the current use is not permitted.

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