What Does Property Definition Mean In My Commercial Lease?

If you are soon to enter a new commercial property lease you may be seeing terms like ‘property definition’ and wondering what it means? There are lots of important terms and clauses within your commercial property lease. They all need to be considered carefully. This is to ensure that you, your business and your investment is protected, as a commercial property landlord or tenant.

So, in this blog post our professional commercial property lease solicitors look at ‘property definition’ means in your commercial lease.

It is important that both the landlord and then tenant are aware of what the demised premises covered in the commercial lease will be. For example, is it the whole building being leased or just a part of the property? This is why the area needs to be clearly defined. It ensures that both parties know which are the tenant will have exclusive possession over.

Alongside the area that will be leased, there will be the kind of repairing obligations or Service Charges that the tenant can expect. This will be based on the areas which are covered within the commercial property lease and what is stated under Property Definition.

Here at Burgh Thorpe Solicitors, our commercial property lawyers recommend that annex plans of the property are within the lease. This ensures that both the landlord and tenants have a clear understanding of the demised premises. It will help to avoid any confusion or conflict during or after the tenancy agreement.

As a tenant, you will need to ensure that the Property and Lease allow you to use the property as you are planning too. This is why the Permitted Use should be explicitly stated in the property definition within the commercial lease.

As a landlord, you will be required to confirm the current registered Use Class of the property. This is as part of the due diligence process within the commercial property agreement. You may be asked to provide evidence for the current Use Class, and this must be given if necessary.

Need help ensuring the terms and clauses protect you in your commercial property lease? Contact our commercial property law experts in Peterborough. We will be happy to review, draft and negotiate your commercial lease. Our commercial property legal team do this to ensure you, your business and the investment are protected.