Property Tax and Management

763 WordsFeb 1, 20183 Pages
Property Tax & Management Q.1 The tenant must comply with various rules set out in law and by the landlord in order to exercise a break clause in the lease in the future, some of the main elements are outlined below: - The tenant must adhere to the duration of the lease and the timeframe that it occupies in order to exercise a break in the lease without complication. If the tenant overstayed the agreed timeframe the landlord would have provision to make a case and bring it before the courts. - The extent of the liability imposed on the tenant, whether the lease terms are confined to just the lease payments or whether the tenant is also responsible for repair/maintenance etc. Failure to carry out repairs and/or maintenance would negatively impact on the tenants ability to exercise a break clause in the future. - Where the Landlord applies for planning permission resulting in the structure of the building being altered causing possible obstruction trading this would give the tenant an opportunity to negotiate a break in the lease due to the fact it is impacting negatively on their business. In Ireland there was a case which is currently still unresolved between Dennis O'Brien and BT Communications where a number of complications arose, conditions of ecercise of the break clause in the lease included a 12 month notice of exercise of the break along with payment of damages to the amount of 6 months rent on the date the break is exercised.
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