Business lease: land, either vacant or with plant or buildings
This lease should be used to let land for any business use, for example, plant or equipment storage or a scrap yard. The document allows the tenant use of any buildings or items of plant on the property. Features: short term: 1 to 7 years; guarantor; break provision; rent review options; SS 24-28 opt-out; options for assignment and sub-letting; draft agreement for security deposit.
About this land lease
This document allows a landlord to let a plot of land that may or may not include buildings or items of plant and machinery. The property could be used for any purpose, from plant or equipment storage, to a scrap yard, to a garden centre, to a car park.
The document has been drawn to help protect the landlord's interests as greatly as possible.
This lease does not need to be registered at the Land Registry as it is for a short term of 7 years or under.
Similar lease agreements
We offer a tailored version of this lease for letting a car park or lorry park. See: Land lease: car park or lorry park, short term.
Plain English is used throughout except where it is necessary to use legal terms common in this field of law.
The key features of this agreement can be summarised as:
- term of 7 years or under (often called a short term lease)
- standard guarantor
- options for transfer or assignment to another party
- sub-letting forbidden
- option to include a break clause for premature termination by the tenant
- a choice of options for rent reviews
- opt-out of Sections 24-28 of the Landlord and Tenant Act 1954
This document has been drawn so as to make it applicable to the vast majority of leasing scenarios without making it difficult to edit. We sell another version of this lease, aimed at property developers, solicitors and surveyors, that contains some additional paragraphs covering more technical points. You might be interested in looking at: Land lease: business use, with or without plant or buildings if you need any of the following:
- provisions for sub-letting
- provisions for an authorised guarantee agreement
- extensive landlord's warranties
- references to land registration for leases with a term greater than 7 years
- prescribed lease clauses
The law in this land lease
Law with respect to letting land is regulated primarily by the Landlord and Tenant Act 1954, amended many times. Account has also been taken of:
- the Landlord and Tenant (Covenants) Act 1995;
- the Regulatory Reform Regulations 2003;
- the Joint Committee's Code for Leasing Business Premises;
- the RICS' Code on Service Charges.
In balancing the codes with the law and the interest of the Landlord, we have followed the codes where reasonable, but have preferred the interest of the Landlord where there may be a difference.
Land lease contents
This template is comprehensive, providing alternative choices for important decisions.
The contents include 25 provisions and 2 schedules covering:
- rent: amount, other payments, interest on overdue rent, periodic review
- condition and repair
- tenant's positive obligations
- restrictions on tenant: prohibited activities on the property
- signs and advertisements
- goods and vehicles
- assignment of the lease
- indemnities by the tenant
- security deposit
- access for landlord
- termination: default notice by landlord; provision for premature termination (a break clause)
- security of tenure excluded
- Schedule 1: rights reserved
- Schedule 2: draft agreement for a security deposit agreement
This document is drawn and maintained by qualified lawyers at Net Lawman. It is real law in plain English.
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