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Is the lease contracted out of part 2 of Landlord and Tenant Act which gives renewal rights please?
Thanks. Is the lease a contracted out (of part 2 L&T Act) lease - i.e. you went through the formal process required when granting the tenancy in terms of notices etc for it to be a contracted out tenancy?
Thanks. I am sorry to ask again but in order to be certain I will need confirmation that the lease is a contracted out lease. Are you certain on this point please? If you are not sure please do say.
That's fine. Essentially If the lease is a business lease, the tenant has statutory rights to remain in the property, even after the term of the lease unless the lease is expressed to be outside Part II Landlord and Tenant Act (known as a contracted out lease). If it is a contracted out tenancy it will say in the lease that part II L&T is excluded and a specific procedure is required to be carried out by your solicitor before the lease begins. Do you know or recall if the lease was contracted out or can you see any reference in the lease as above?
Thanks. This suggests that the tenant has security of tenure unfortunately which means that providing the tenant is able to pay a market rent for the property you can only evict him under certain circumstances, namely:a) The tenant's failure to comply with repair and maintenance obligations.b) The tenant's persistent delay in paying rent.c) The tenant is in substantial breach of its obligation under the lease.d) The landlord has offered the tenant alternative premises.e) The current lease is a sub-lease of part comprised in a superior tenancy and the landlord is the owner of the reversionary expectant on the termination of that superior tenancy and the landlord could obtain a higher rent if they let the property as a whole.f) The landlord intends to demolish, reconstruct or carry out substantial work of construction at the property.g) The landlord wishes to occupy the property itself, either as a business or a residence.
Thanks. Have you served a s25 notice on the tenant to date or was the notice a notice you wrote out yourselves?
Thanks. To bring the lease to an end you need to give the tenant 6 months notice in the form of a s25 notice in which you must indicate that you oppose the renewal of the lease and the reason why which must be one of the above grounds.
If they challenge your right to refuse a new tenancy then the matter will have to be decided by a court. The court will expect you to be able to show that your plans are genuine and have move passed the "idea" stage and you have started to put them into practice so far as possible without the premises being recovered at that stage.
There are many online precedent sites you can obtain the notice from e.g. here:
Providing you can genuinely show as above that you intend to occupy the property yourselves you will be able to oppose the tenants request for renewal. You will have to pay compensation to the tenant at 1 x the rateable value of the premises if he has been there less than 14 years or 2x if more.
I am afraid the notice you need to give the tenant is prescribed by statute and must be in a specific form. If your notice differs from the prescribed form it will have to be done again I am very sorry to tell you.
You may refer the tenant to the above grounds for opposing renewal and may consdier showing your plans to him so he can see you are genuine in those plans. If he goes to see a solicitor his solicitor will likely ask him this so it can be useful to show the tenant such plans so he can answer his solicitors question accordingly.
Does the above answer all your questions or is there anything I can clarify or help with any further?
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