Commercial Leases Case Study Example | Topics and Well Written Essays - 4000 words

Commercial Leases - Case Study ExampleAmong these are grounds whither the tenant has failed to pay the undertake or meet other lease obligations, but the landlord may also seek possession on certain specific grounds where the tenant is not at fault. High alley Properties Ltd (HSP) would be the landlord of shopping parade in South West London by purchase. To modernisation and refurbishment to remedy the rents HSP may send a notice under Part II of the Landlord and Tenant Act 1954 and The LTA 11954, Part 2 (Notices) Regulations 2004. Tenants have lots of provision to foster it.This question raises some issues from commercial lease. In order to answer this question it is necessary to discuss landlords rights against lease property, tenants right, and forfeiture of terms of lease contract. High Street Properties Ltd (HSP) intends to purchase and refurbish a shopping parade in South West London built in the 1930s from another property investing company. The properties need modernisat ion and refurbishment to improve the rents significantly. HSP 2 has to consider the terms of the contract, covenant of the commercial lease contract. From the question it is clear that the High Street Properties Ltd result not be the original contracting party. Thus it also required checking with if there are any Sub-lets among the tenants. HSP should establish privity of estate with the tenants by purchasing the shopping parade.However, here it is important when HSP intends to purchase. If HSP intends to purchase before June 2004, they will seek Part II of the LTA 1954. Otherwise, HSP has to follow The Landlord and Tenant Act 1954, Part 2 (Notices) Regulations 2004 beca role from 1 June 2004, substantial changes to the statute law relating to business tenancies will come into effect. The Artical Analysing the Changes 3 by JOYCE, J. 2005 questioned law and surveying professional as to their opinion on the amandments introduced. The article provides the results from a survey, which was sent to members of the belongings Litigation Association, the kinglike Institute of chartered surveyor and the Chancery Bar Association. Of the two hundred and thirty one responses recieved the majority of respondents had felt the amendments had been successful and were easy to implement.They come in to the most radical amendment to this legislation, since it was introduced 50 years ago. The LRA 4 1967 has a significant effect. But this question of fact completely ignore about the era or year. So in this require discussing all the possible circumstance. a) First of all HSP will be determined whether they are business tenant or not. Royal Life Saving Society v Page 5 In this case Court determined who would be the business tenant. The Court held that the doctors professional use was incidental to his residential use. In Street v Mountford 6 Lord Templeman suggested that there are three characteristics of a lease, these are exclusive possession, a definitive period, for a rent or other consideration. Exclusive possession means that the tenant has control over any one who enters the premises and can prove everyone, including the landlord. BELL, C.D., 2002. GARNER, S., and FRITH, A., 2004 define the essential elements of Business tenancy. In Cheryl Investments Ltd v Saldanha 7 the court held that this was a business tenancy as