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Matt Jones
Matt Jones, Solicitor
Category: Law
Satisfied Customers: 671
Experience:  I am a qualified and practising Solicitor with over 7 years post qualification experience
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How I draw up a license agreement to legally allow coworking

Customer Question

How I draw up a license agreement to legally allow coworking in a 'residential' flat.
Submitted: 2 years ago.
Category: Law
Expert:  UKSolicitorJA replied 2 years ago.
-Could you explain your situation a little more?
Customer: replied 2 years ago.

I need to create a new/modified license type which allows me to license the living space of a residential flat (AST) offering desk space (work space) to clients. I need a solicitor who's well versed in UK planning/zones/tenancy/licensing laws on the residential and commercial side.

Expert:  Matt Jones replied 2 years ago.
HI,
i think we need a bit more information. Are you the tenant under the AST or the Landlord/owner of the property?
What would be the relationship between the residential use and the commercial use, for example with time, access etc?
Does the AST make reference to the potential licence of the "work space"?
Customer: replied 2 years ago.

Hi Matt,

Thanks for answering this.

I am looking into all angles here, big picture. This is a strategy question, I haven't implemented a test case yet - that's why I am asking these questions upfront.

To answer your question re relationship - we could possibly work with owners/landlords in which case we are partnering with owners, however the first case is to consider that we are NOT the owners and are leasing the 'residential' space.

Are you familiar with hotel law? there may be some useful precedents there.

Perhaps a modification of live/work where the work part is multiple licences?

My customers would all need to be on licenses - whether using the office space or using the bedrooms for sleeping as I do not want to deal with tenants (AST)

Let's try and work with the simplest scenario for example: I rent/lease a one bedroom flat. I live/sleep in the flat. I license out desk space to 2 persons in the living area from 9am-6pm and they get to use toilets and kitchen during office hours.

Expert:  Matt Jones replied 2 years ago.
OK there are a few fundamental issues that you need to address first and foremost:-
1) If you (personally) were the Tenant of a property and lived there, and you received the Landlords (and any mortgage companies) consent, then (subject to planning etc which I will discuss in a moment) I don't see anything wrong with your sub-letting or sub/licencing part of your accommodation. However it is quite another thing to "impose" the sublet on an existing/new AST. one of the main characteristics of an AST is to have exclusive possession of the whole of the property, not the whole only at certain points. You would probably have the residential Tenant on an "lodger" agreement (which may have an impact on, for example, Housing benefit cases)
2) If the property was already an existing flat in a block on a, say, 999 year lease. there may be a restriction in the main lease as to commercial use of the accommodation. You would need to check the lease and the title deeds of the property in question
3) in any instance the property will likely be solely residential for planning purposes. You will need to make an application for mixed use accommodation, which is possible but depending on the property it may require alteration.
Matt Jones, Solicitor
Category: Law
Satisfied Customers: 671
Experience: I am a qualified and practising Solicitor with over 7 years post qualification experience
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Customer: replied 2 years ago.
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