1. 1.        SHOULD I OBJECT / SUPPORT?

You may have received a letter from your Council notifying you of a nearby development proposal, spotted an application notification posted on the site or in the local paper, or even been asked to join an action group. Maybe your neighbour has let you know he is making a planning application. What should you do?

Clearly, if you are not concerned about the proposal there is no need to do anything. But it is worth giving some momentary thought to the matter. The proposal on its own might not be objectionable but will it set a precedent? If your reaction is one of concern take a moment to stand back and think about your reasoning. The fact you do not like your neighbour is insufficient to justify an objection.

To stand a chance of being taken seriously by the Council any objection or support must be rational, impersonal and directed principally to the planning issues raised by the proposal.

2. THE PROCEDURE

When a planning application is submitted it is processed by the planning department within a set procedure. Applications are usually dealt with within 8 weeks of submission, but delays do occur for a variety of reasons. Once the application is accepted as valid by the Council a series of consultation letters are sent out to a range of Statutory Consultees (such as the Highways Department, Environmental Health, English Heritage etc) which vary depending upon the individual proposal. These consultees are required to respond within 21 days with their comments on the application.

Public participation in planning is increasingly sought by the Government and modern technology will assist further in ensuring you are aware of what is happening in your area. The actual procedure for your Council is established in their Standing Orders.

3. ESTABLISH THE FACTS

All too often objections are submitted which are based on an incorrect understanding of the application. The first step must be to inspect the application and understand it. You may review the application at your Councils’ planning department or increasingly review the application online through the Council’s website. Each application is allocated a discrete planning reference number – it may look something like this x/x/2007/12345/FUL. If you know the number, then ask for the application details by reference to that number. Otherwise make sure you have the address of the property.

You will be allowed to inspect the application forms, plans, drawings and other information submitted by the applicant. You may not be allowed to view the responses from consultees or other objectors, although increasingly these are published online. The planning department will outline the areas of objection and support in their report to the planning committee.

Consider the application carefully. You can usually discuss the application with a Duty Planning Officer so that any technical details can be better appreciated. You can make notes and may also be able to purchase copies of the application (but probably not any plans as these will be copyright).

Review the Local Plan policy. The Council will have copies of their Local Plan available either to view or purchase. This may take a bit of reading but will almost certainly contain policies that have a bearing upon the application. Do they support or deter the proposal? You may wish to refer to relevant policies in your letter of objection / support.

Check the planning history of the property. This may be going a bit far for most domestic applications, but sometimes the property may have been subject to prior refusals/ approvals that will have a bearing upon the matter

5. MAKING YOUR OBJECTION / SUPPORTING STATEMENT

You’ve considered the application, reviewed the options and still wish to make representations. Next step is to write down your concerns / supporting points and send them to the Council Planning Department. There is usually a Case Officer or Area Group allocated to deal with the application, but if you cannot discover the exact person then just send your letter to the Planning Department. Always try and include the Planning Reference Number and location of the property. Again, some authorities now accept online submissions via the planning pages of the Council’s website.

Set out your comments logically and in a straightforward manner. Personal comments about the applicant are rarely helpful and imply the objection is personal rather than based upon the planning issues. Keep it brief. Long or rambling commentary is unhelpful. If you wish to include other information then you can do so. Photographs are often helpful to illustrate to the Council your particular concerns. If there is a particular matter that you believe requires the Planning Officer inspecting personally, from your property, then ask him to make a visit.

You will usually be asked to make your objection within the 21-day consultation period established at the outset of the planning application. However, you can submit objections / supporting statements right up to the moment the application is considered. The later you leave it though the less chance there is of the Council really giving your comments due consideration.

6. MONITOR THE APPLICATION

Larger applications may take some time to determine. It is worthwhile asking your Council if they can keep you informed of progress. Once you are logged as an objector / supporter most Council’s today will notify you of any material alterations. Any significant changes to an application may have to be re-advertised and sent out for further consultation. Check to see how the application will be handled. There is an increasing trend toward the use of Officers Delegated Powers, where the application is determined by the Officers, rather than going to a full planning committee.

7. ATTENDING THE PLANNING COMMITTEE

You are entitled to attend any planning committee meeting to hear the applications being considered by the Council. Committees are usually held on a monthly basis, but may be more frequent depending upon the Council workload. Committee dates are usually posted in the Council Offices and can be checked with the Council’s Committee Clerks Department or the planning department, or online. Increasingly the public is being allowed to speak at committee meetings and each Council adopts their own procedure for this. In most cases you will need to notify the Council in advance of your intention to speak. Check with the Planning Department or Committee Clerks office about the procedure adopted in your particular Council.

The Chairman will invite those who have registered to speak to address the committee from a suitable position in the Council Chamber. Two or three minutes are common time periods allowed for individual public address to the committee and are strictly controlled. Keep your comments simple, keep them to the point and avoid personal jibes. The committee is only interested in the planning merits of your comments and how they relate to the application.

In our experience as a planning consultant the most effective objector is always the cool, calm and collected representative of personal or local opinion, who has done their homework and presents a logical planning case against (or for) the proposal under consideration.

If you do not wish to speak yourself you can arrange for someone to do this on your behalf, but this must be made clear to the committee. If you are representing other people you should ensure you have their permission for you to speak on their behalf. This may be requested by the committee to prove you have other people’s permission. A letter of authority would be useful. Group objections / supporters wishing to say much the same thing are generally encouraged to group their comments together with one or two speakers only, but you may be able to negotiate more time per speech as a result.

SUMMARY

• Investigate the application and associated planning policy
• Consider helpful amendments / modifications
• Consider discussing the application to resolve problems
• Write down and send your concerns to the Council as soon as possible
• Monitor the application
• Attend the committee to hear the decision
• Consider addressing the committee
• Keep all comments to the point, impersonal and related to the planning issues
• Make sure you have other people’s permission to speak on their behalf

So here’s the response taken from the Direct.Gov’s own website that, unless there are changes to their own requirements, should be applied to all commercial property transactions.

 ‘Prospective buyers or tenants must receive an EPC before they buy, let or sublet premises.

For the sale or rent of an existing property, it is the owner or landlord who is responsible for providing an EPC to any prospective buyer or tenant. This should be done no later than the day on which a viewing is carried out, or written information is provided about the premises. At the very latest, an EPC must be provided when a contract to sell or let premises is arranged.’

 Bearing in the mind the advice from Direct.Gov, when providing advice to our clients, RPS Ltd recommends that an EPC is prepared and made available as part of the initial marketing proposals and that it is included both within the marketing pack and as preparation of the sales pack and CPSE responses. As in most property transactions early preparation of documentation keeps the period between offer and sale completion to a minimum and reduces the ability for the purchaser to either chip the price or stretch out the sales process with the aim of frustrating and lowering the price.

 EPCs are needed for buildings with multiple tenancies and let for different uses, with a mixture of retail, office and/or residential accommodation. EPCs are not needed for:

• lease renewals or extensions
• compulsory purchase orders
• sales of shares in a company where buildings remain in company ownership
• lease surrenders
• temporary buildings with a planned time of use less than two years
• standalone buildings with a total useful floor area of less than 50 metres squared that are not dwellings  

 Existing occupiers and tenants will not require an EPC unless they sell, assign or sublet their interest.

http://www.marlowfm.co.uk/

C3 Dwelling houses – this class is formed of 3 parts:
C3(a) covers use by a single person or a family (a couple whether married or not, a person related to one another with members of the family of one of the couple to be treated as members of the family of the other), an employer and certain domestic employees (such as an au pair, nanny, nurse, governess, servant, personal assistant), a carer and the person receiving the care and a foster parent and foster child.
C3(b): up to six people living together as a single household and receiving care e.g. supported housing schemes such as those for people with learning disabilities or mental health problems.
C3(c) allows for groups of people (up to six) living together as a single household. This allows for those groupings that do not fall within the C4 HMO definition, but which fell within the previous C3 use class, to be provided for i.e. a small religious community may fall into this section as could a homeowner who is living with a lodger.
C4 Houses in multiple occupation HMO’s – small shared dwelling houses occupied by between three and six unrelated individuals, as their only or main residence, who share basic amenities such as a kitchen or bathroom.
D1 Non-residential institutions – Clinics, health centres, creches, day nurseries, day centres, schools, art galleries (other than for sale or hire), museums, libraries, halls, places of worship, church halls, law court. Non-residential education and training centres.
D2 Assembly and leisure – Cinemas, music and concert halls, bingo and dance halls (but not night clubs), swimming baths, skating rinks, gymnasiums or area for indoor or outdoor sports and recreations (except for motor sports, or where firearms are used).
Sui Generis – Certain uses do not fall within any use class and are considered ‘sui generis’. Such uses include: theatres, houses in multiple occupation, hostels providing no significant element of care, scrap yards. Petrol filling stations and shops selling and/or displaying motor vehicles. Retail warehouse clubs, nightclubs, launderettes, taxi businesses, amusement centres and casinos.
Before you negotiate a lease or buy a property for your business, check whether you need to obtain planning permission for your intended use, and, if so, your chances of getting it.
Changes of use not requiring planning permission
In many cases involving similar types of use, a change of use of a building or land does not need planning permission. Planning permission is not needed when both the present and proposed uses fall within the same class or if the Town and Country Planning (Use Classes) Order says that a change of class is permitted to another specified class (see table below).
For example, a greengrocers shop could be changed to a shoe shop without permission as these uses fall within the same class, and a restaurant could be changed to a shop or a estate agency as the Use Class Order allows this type of change to occur without requiring planning permission. Most external building work associated with a change of use is likely to require planning permission.

From A2 (professional & financial services) to A1                                                                         Shop From A3 (restaurant & cafe) to A1 or A2                                                                           A4 (drinking establishment) to A1, 2 or A3                                                                                 A5 (hot food takeaway) to A1, A2 or A3                                                                                        B1 (business) to B8                                                                                                                           B2 (general industrial) to B1                                                                                                          C4 (HMO’s) to C3                                                                                                                     Casinos to D2

Additionally, a planning application is not required for change of use in the following circumstances:
from A1 or A2 to A1 plus a single flat above;
from A2 to A2 plus a single flat above.
These changes are reversible without an application only if the part that is now a flat was, respectively, in either A1 or A2 use immediately before it became a flat.
Changes of use requiring a planning application
Other than for the permitted changes of use listed above and changes where both uses fall within the same use class, planning permission is generally required for a material change of use.
Most external building work associated with a change of use is likely to require planning permission.
Note; The building regulations may apply to certain changes of use of an existing building even though you may think that the work involved in the project will not amount to ‘Building Work’. You may wish to contact your local Building Control body for further advice. This guidance relates to the planning regime for England. If in doubt contact your Local Planning Authority
This is an introductory guide and is not a definitive source of legal information.

A

Use classes order; Section 55 of the 1990 Planning Act sets out classes of use for premises. Your lease may restrict the use of your premises to one of these classes or may be specific in its use.

Absolute covenant; An undertaking that is neither conditional nor determinable.

Access audit; A survey of the property to ascertain what needs to be done to meet the requirements of the Disability Discrimination Act 1995

Adverse occupation; Occupation by a trespasser or squatter who is denying the lawful owner or occupier their rights.

Alienation; The ability to transfer rights to another party ie sub-letting or assignment

Alterations; Changes made to the property that could be construed as an improvement

Arbitration;  Form of settling a dispute by use of an independent arbitrator whose decision is binding (see also Independent expert).

AGA, Authorised Guarantee Agreement; See L&T Act 1995, for leases from 1 Jan 1996, the landlord’s ability to obtain lessees requirement to meet assignees or sub-tenants obligations if in default.

B

Balancing Service charge; A calculation at the end of an accounting period summarising expenditure and income received. This can be a positive negative number and therefore either an additional demand or credit on the tenants account.

Break clause; A clause giving the party (landlord, tenant or both) the ability to terminate the lease given a certain set of, often very strict, circumstances.

Business tenancy; A business lease (as opposed to residential or agricultural) gaining protection of the L&T Act 1954.

Break point / Break date; The date at which a lease terminates when a break clause has been invoked.

Building Regulations; A code of practice issued as a statutory instrument which sets methods and standards of contruction and for quality of materials. These regulations are inforced by local authorities.

Burden (of contract or covenant); The obligations into which a party to a contract has entered in favour of the other party or covenentee.

Business Premises; Generally used to describe premises primarily used, or can be used, for commercial purposes. Important in relation to LTA 1954 for business tenancies and the application of business rates.

C

Capital expenditure; Normally monies spent on land, buildings or machinery, as oppose to repairs or maintenance.

Caveat Emptor; Let the buyer beware.

Clean or clear title; Title to land with no claims, mortgages or liens

Liens; A loan covered by land ownership

Code of Measuring Practice;  A set of rules & guides ensuring a standard approach to measuring property & floor areas.

Completion; The final step in the legal process of transferring land ownership.

Completion Statement;  A financial summary normally prepared by the Vendors solicitor identifying the key dates and figures at the point of the document completion. Figures may include the purchase or rental figures, professional fees, service charges, deposits, taxation etc.

Conveyance; The legal process of preparing contracts, leases, searches, due diligence, land registration etc.

D

Damages; money recoverable by court action by party suffering lossrsulting from breach of contract under statute or tort.

Dangerous Structure Notice; A statutory notice issued by a local authority to a building owner requiring a structure to be put into a safe condition.

Date of Valuation; The date of which a property is considered to be of the value stated regardless of the date of the report, signature etc.

De Minimis; A term relating to the degree of which that the effect of damage or injury is deemded to be negligable and so may be disregarded.

Deed; A document of written evidence of a legal transcation that has been signed and delivered to testify to the agreement. a deed does not have to be sealed.

de facto; In fact; as a matter of fact;

Default notice; A notice which has to be served on a party in alleged breach of a contract stating the nature of the breach and requiring remedy as a pre requisite of intituting legal proceedings for breach of contract.

Defects Liability Period; An agreed period of time following practical completion of a project which the contractor is obliged to remedy any defects appearing, failure of workmanship or materials. Amounts specified within the contract shall be witheld.

de jure; By right; as a matter of law.

Demise; In a lease, means the area included within the grant; the area of the property subject to the lease.

Depreciation; Decrease in the value of real property caused by obsolesance, deterioration in condition etc.

Dilapidations; Items identified as disrepair which arise through breach of contract (reinstatement, repair or redecoration) giving right to right to damages or remedial action.

Disclaimer; The renunciation, usually of a right, power or liability. A liquidator may disclaim an onerous lease.

Disclosure; In litigation disclosure is the new name for discovery, the process by which each party reveals to the other documents within its control whether or not they are adverse to their case.

Discovery of documents; also known as disclosure.

Disregards; Items to be ignored in a valuation such as rent review. ie alterations or improvements.

Dissolution;  Formal termination of a company by winding up.

Distress; The act of seizure of chattels without legal process, a means of recoverying arrears.

Dominant tenanment; land which benefits from an easement or other right over other land (the servient tenement).

E

Easement; A right by a dominant owner over a servient. Ie rights to access over land or a right of light.

Eaves height; The height between the floor surface and the underside of the roof covering, supporting purlins etc, at the eaves or the internal wall face (usually the lowest level of the roof structure).

EBITDA; Earnings before interest, taxation, depreciation or amortisation.

Enabling works; works of clearance, demolition, diversion of services or building required prior to main construction.

Enterprise Zone; Under S.179 of Local Government Planning & Land Act 1980. an area designated as requiring special planning, fiscal & economic development treatment.

F

Forfeiture; The right of a landlord to retake possession following a tenant’s failure to remedy a breach of lease terms.

FRI lease; Where the tenant will have responsibility for repairing, maintaining and insuring the property.

G

Geared rent; A rent calculated as a proportion of the rental value received or the rental value of a broadly similar property.

Gearing; The use of borrowed money to improve the yield on the cash contribution of an investment.

General Permitted Development Order (GPDO); Refer also to the Toen & Country Planning Order and the granting of palnning permission for various types of development.

Geomatics; The study and practice of land measurement.

GIA; Gross internal area.

Goad Plan; plan showing the area of a town devoted to retail use and include names and describe each unit, streets, loading areas, car park & service areas.

Good and Marketable title; Technically if a seller proves he has the title he contracted to give, he has shown good title. In unregistered title, if the root of title is at least 15 years old, the title is described as marketable. the expressionbhas come to to mean there are no defects that would inhibit future disposal or result in reduction of value.

Gross rent; Actual rent received before deductions or offsetting

Guarantor; A third party bound to tenant’s performance of the lease covenants.

H

Habendum; Found in the lease to describe the property being let.

Halving back; Used in the rental valuation of retail units applying a zone to the first 6m depth of the unit at one price, then half again for the next zone etc.

Hazadous substances; a list of 15 groups of generic substances described as hazardous.

Head lease; A leashold interest held directly from the freeholder and subject to any underleases.

Head rent; The rent paid by a head leasee to a freeholder.

Heads of Terms; The agreed fundamental points of an agreement and intended to form the basis of the agreement. Duration, rent, alienation, incentives etc.

Hereditament; A property liable to exposure of business rates under the rating list.

Holding Over; Where a tenant remains in possession after the expiry or determination of a tenancy. This could lead to tresspass or a new lease if a business tenancy protected under the LTA 1954.

I

Interim rent; See L&T Act 1954, a temporary rent paid whilst parties used negotiate a rental figure for the new lease.

Intermediate Landlord; A tenant acting as landlord to his sub-tenant and below the landlord.

Immediate Landlord; In a chain of interests the interest immediately above that of a particular tenant.

Implied covenant; A covenant assumed in law to be in a lease even if expressly excluded. (ie tenant to use the property in a tenant like & proper manner).

Improvements; Generally physical changes to the property which could enhance value (extensions, additonal buildings new services). A new installation as apposed to repair of exisiting.

In the Market; In valuation terms a property that is currently for sale or let.

Independant Expert; an impartial person with relevant specialist knowledge who is appointed to resolve differences between parties. He can use his knowldge as well as evidence put to him.

Inducement; A benefit offered to a prospective tenant to take a lease. may include rent free periods, contributions to fit out works, break options etc.

Inferior interest; Any interest granted out of an interest in land.

Inherent Defect; A defect within the structure of a building which was inadvertently ‘built-in’ at thetime of design or construction.

Initial Yield; In investment analysis the inital net imcome at purchase expressed as a % of the purchase price, including the cost of purchase.

Institutional Investor; Generally taken to mean the banks, pension funds, unit trusts and insurance companies that together are taken to be ‘Institutional Investors’. The big boys!

Interim Rent; Under the LTA 1954 Pt2, a temporary rent payable from the date of expiry of the current tenancy until such time as a new rent is agreed or the lease terminated.

Internal Repairing Lease; A lease under which all or some of the internal repairs are the responsibility of teh tenant.

Intra vires; ‘within the powers’.

JCT Contract; A standard form of contract dreafted by the Joint Contracts Tribunal. Most widely used standard contract but not statutory.

Joint Agent; One of 2 or more agents instructed by a principal to act on their behalf.

Joint & Several Obligation; An obligation entered into by 2 or more persons under which each person is liable individually as well as jointly with others.

L

Land Registry; Government body recording ownership & transfer in land.

M

Magnet Store; also known as an Anchor store, a large store known to be or expected to be attractive to customers. Mainly in reference to a shopping centre.

Managing Agent; An agent taking on all, or some, property management function on behalf of the landlord.

Market Value; Defined in Internation Valuation Standards as; ‘the estimated amount for which a property should exchange on the date of the valuation between a willing seller and a willing buyer in an arms length transcation wherein each party has acted knowledgebly, prudently and without compulsion’.

Marriage Value; The latent value which could be released by the merger of 2 or more interests in land. ie 2 plots of land together being worth more than the sum of the individual parts.

Material Change of Use; A change of use of a property so significant as to be defined as development under the Town & Country Planning Act 1990, and thus requiring planning permission.

Mitigation of Loss;  The duty of a party seeking a legal remedy or compensation to take reasonable steps to avoid or reduce the loss.

N

Net Present Value; The sum of discounted values of a prospective cash flow.

Notice to Terminate; Formal landlord notice served by the competent landlord on the tenant of a business premises under s25 of LTA 1954.

O

O&M Manual; Operation and maintenance manual.

Obsolescence; The factors affecting the economic life of a tangible asset such as a building. Economic obsolescence; Environmental obsolescence; Functional obsolescence; Configurative obsolescence; Strategic obsolescence.

Occupation; Physical use and control of a property.

Occupational lease; A lease by which the lesseee occupies the property rather than being a mesne landlord (a tenant who is also the landlord of a sub-tenant).

Offer; one of the 3 requirements of a contract. the others being acceptance and consideration. Offers are usually made ‘subject to contract’.

Office of Fair Trading; Public body dealing with the protection of consumer rights.

Off Licence; Generally issued under the Licensing Act 1964 by magistrates allowing the sale of alcohol for consumption off the premises.

Off the market; A property transaction taking place without the property being generally marketed.

OMV; Open market value. Best price that might reasonably be expected at arms length, on date of valuation, subject to statutory assumptions. Now defined in the RICS Red Book.

Open space; Under S336 of the Town & Country Planning Act 1990 ‘land laid out as public garden or public recreation…’

Outline Planning Permission; Under the Town & Country Planning Order 1995, formal consent in principle to a proposed development subject to subsequent approval of ‘reserved matters’. Does not apply to a material change of use.

Over-rented; A property which is let at a rent which is greater than the current open market rent.

Overriding Interest; An interest in registered land which is not itself registerable but is binding on the proprietor. Legal easements, the rights of a person in actual occupation & most leases.

Overrriding Lease; An intermediate lease granted to another party for a term longer than that of an exisiting lessee. There is privity of estate but not privity of contract.

Oversail; The part of a building or structure (such as a crane) which overhangs airspace.

Q

Qualified Covenant; A restriction in a legal document which limits the rights of a person but envisages the removal of the restriction subject to ‘qualifications’. ie not to assign a lease without landlords written consent, such consent not to be unreasonably witheld.

Quarter days; The English being; March 25, June 24, September 29 & December 25.       The Scottish being; Feb 2, May 15, Sept 29 & Nov 11.

Quiet enjoyment; an implied right in a lease, and often an express one, providing the tenant with the right to recover damages if there is interference by the lessor or others.

R

Rack rent; The full letting value of a property given set terms & conditions.

Ransom Strip; A piece of land required in order to access other land, achieving a ‘ransom’ value.

Rating year; Commencing 1 April

Rateable value; The figure upon which uniform business rates is charged. The amount equal to the rent at which it is estimated the hereditament might reasonably be expect to let.

Red Book; The colloquial name for the RICS standards & rules for appraisal & valuation standards published by the RICS.

Reddendum;The part of the lease dealing with the rent.

Reinstatement; The process of putting the property back into the condition which existed at the commencement of the agreement.(See schedule of condition)

Relief;  In rating, a statutory reduction in liability to pay rates based on a number of conditions; status of occupier, recently unoccupied, refurbishment or not fit for use etc.

Rent Cesser clause; Lease provision which allows the tenant to cease paying the rent during given period; rebuilding after destruction or fire.

Reversionary lease; A lease that commences sometime in the future

S

Sale & leaseback; an arrangement whereby a freeholders sells their interest in the property and takes a lease back. Thereby often releasing capital.

Schedule of Condition; A statement describing the condition of a property, often accompanied by photographs and can be attached to the lease. often used in conjunction with dilapidations settlements.

Section 106 Agreement; legal agreement between local authority & land owner that regulates land development requing works that will to the benefit of the community.

S.17 notice; See LTA 1995, notice 0f recovery of arrears to be served on a former tenant, guarantor or tenant under an AGA. Must be served within 6 months of becomming due indicating intention to take action.

S.18 Valuation; An assessment in the valuation of the demunition in the reversion of the landlords reversionary interest. Used in conjunction with dilapidations claims.

Security of Tenure; The right of a tenant to remain in possession of demised premises in accordance with lease terms. See also LTA 1954 Pt2, to remain in occupation beyond original lease term.

Service Charge; The amount payable by a tenant on account of charges for services supplied & recoverable by the tenant. Normally reserved to ‘common parts’.

Serviced Offices; Business space where the landlord provides a range of services such as admin support, telephony and meeting rooms. A common type of service agreement is by way of licence rather than lease.

Servient Tenenment; Land burdended by an easement such as a right of way or access.

Shell & Core; The basic construction of an office but excluding finishes such as raised floor, carpet, painting or ceilings allowing the tenant to fit-out to their precise requirements.

Shortfall; The difference whereby receipts is less than sums paid out.ie service charge payments or insurance premiums.

Side Letter; A letter accompanying a legal document explaining the intentions of the parties.

Sinking Fund; Money collected from tenants and set aside to set off against future projects (ie lift or roof replacement). now rarely used.

Sitting Tenant; The tenant either in lawful occupation or entitled to immediate possession of the property. Usually applied to a tenant benefitting from a statutory protection on expiry of the lease.

Speculative Development; Construction of a property where no known buyer or occupier is known at the time of contruction (see Pre-let).

Squatter; A person in occupupation with legal title or owners consent.

Stamp Duty Land Tax; See Finance Bill 2003.

Statement of Standard Accounting Practice (SSAP); One of a series of approved documents relating to accounting standards.

Statute Law; The part of the law which derives from legislation ie Acts of Parliament. 

T

Time of the Essence; the doctrine that the term of a contract can be enforced within a certain time limit. Only if; Stated to be so within the contract or properly inferred from the nature of the circumstances of the transaction.

Title; the right of ownership of land.

Title Deeds; Legal documents proving ownership and the terms of the ownership.

U

UBR; Uniform business Rates,also known as non-domestic Business Rates.

Under offer; where an offer for a property has been accepted in priciple but subject to contract.

Unliquidated Damages; Damages, the amount of which has nor been determined but to be settled by the court.

User clause; Usually a lease covenant stipulating to what use the property can be made.

Usual covenants; in a good quality lease these include; covenants by the tenant to pay rent, rates & taxes, keep the property in repair. And by the landlord for quiet enjoyment. The lease may make mention of ‘the usual covenants’. there are also covenants implied by law to be incorporated in an agreement for lease where this does not specify all relevant terms.

V

Voluntary Liquidation; The termination of the operations of a company by the winding up procedure initiated by the shareholders at the request of the creditors. As apposed to compulsory liquidation by the court.

W

Waiver; The actual or deemed abandonment of, or failure to assert, a legal right.

Walking Possession; in levying distress the act of the bailiff in listing the goods to be distrained but leaving them on the premises subject to enforceable conditions. They may not be removed from the premises.

Walkway; A footpath created under S.35 of the highways Act 1980, enabling the public to go over, through, under, around buildings. local authority may be liable for maintenance.

Warrenty; An express or implied undertaking whereby the warrentor becomes legally responsible in the event that the facts being otherwise.

Waste; The doctrine of unlawful change, usually involving deterioration in the physical condition of the property resulting from a positive act or neglect.

Waste Carrier; A person authorised and registered by the Environment Agency to transport waste.

Wasting Asset; Under the Taxation of Capital Gains Tax Act 1992, an asset with a predictable life not exceeding 50 years. Freehold land is NOT such whereas an asset which in real terms will normally depreciate in value over time eg a leasehold asset.

way of Necessity; Where there would be no other means of accessing a plot of land that is surrounded by other land. It results from the severence of ownership.

Wayleave; A determinable right of way to pass over, lay cables, pipes etc over or under another’s land.

Willing Lessor, Willing Lessee (willing landlord / willing tenant); An assumption sometimes used in for rental valuation purposes such as a rent review that the lessor is willing to let the property and that there is at least one tenant who is willing to take a lease.

Willing Sellor, Willing buyer (willing vendor / willing purchaser); An assumption sometimes made for valuation purposes in a similar manner to willing lessor / willing lessee.

Winding-up; The procedure for terminating the affairs of a business or company.

Without Prejudice; A phrase used to enable parties to negotiate an agreement or settle a dispute without any statement or admission being subsequently quoted or produced in evidence at a legal hearing on the subject. The privilage applies only to the proceedings in question so that ‘without prejudice’ statements  can, in certain circumstances, be produced in evidence in some other unreleated dispute.

Y

Year of Assessment; For taxation purposes a calender year starting 6 April and terminating 5 April between which liability is calculated.

Tears Purchase; Used for valuation purposes. The amount bt which the net income is multiplied to calculate a capital value. also used in conjunction with Present Value of £1 and is the reciprocal of the annuity that £1 will purchase.

Yield up; To give up possession of a property especially at lease expiry.

Yield Up Clause; A lease provision in reference to yielding up.

Z

Zone A Value; A unit of comparison of rental used for retail purposes and specifically the front zone of the unit. See also halving back.

Zoning Method; A method of defing rental for retail units by dividing the floor area (normally the ground floor) into strips parallel with the frontage. Each strip having rental applied corresponding to its ability to achieve sales or profit. The most expensive strip normally being at the shop front. Standard strip length being 6m but may vary.

How long a lease will I have to take?
The length of the lease is purely subject to negotiation. For offices, 3 to 10 years is the norm, with 10 to 15 years more prevalent in retail premises. In the case of warehouse and industrial premises, leases of all lengths are negotiated, although longer than 15 years is now rare. Leases tend to become longer when larger accommodation is involved, but leases in excess of 20 years are now quite rare, although some leisure operators will take 35-year leases.

How is the rent calculated?
The landlord will normally quote a rent based upon a rate per square foot (or metre) applied to the floor area of the property. In the case of factories or warehouses the Gross Internal Area ‘GIA’ will be used. This is the area inside the external walls without any deductions. For shops and offices the Net Internal Area will be used whereby non-usable areas e.g. stairs, toilets and some corridors are deducted from the GIA. In the case of shops the Net Area will then be Zoned to enable a comparison between the trading potential of different shaped shops to be made. We produce a separate document explaining retail Zoning in detail.
Will I get a rent free period at the start of the lease?
It is usual for a tenant taking a new lease to be able to negotiate a rent-free period, or perhaps a reduced rent for a time, at the beginning of the lease. This is often stated as being for fitting out purposes but it is no more than an inducement to take the lease and may bear no relation to the actual period fitting out is likely to take.
The customary amount of rent free varies between different market sectors and usually depends upon the length of lease, the rent and the financial status of the tenant. If the financial status of the tenant, the covenant, is strong enough, a capital payment might also be negotiated. Occupiers, though, need to be wary of agreeing to pay a rent above market levels in consideration of a long rent free period or capital sum as this can leave them at a substantial disadvantage if the market deteriorates.
What are rent reviews?
Any lease in excess of 5 years will customarily have a rent review, either at 3 or 5 yearly intervals, that allows the landlord to revise the rent to a market level. Such reviews are invariably upward only so the amount paid will not go down even if rental levels in an area fall. The Government has been putting pressure on the UK property industry to make a change to this practice but it has not had any effect so far and, in reality, few landlords will agree to downward reviews. If the landlord and tenant cannot agree a fair rent, at review, then the amount is decided by arbitration.
What happens if I don’t need the property any more?
Unless the ability to terminate the lease early has been negotiated (a break option) the only option will be to assign the lease or sublet the property. Most leases allow the tenant to either assign or sublet the whole property but never to assign (and not necessarily to sublet) part. Where subletting of part is permitted, there are frequently additional conditions governing the total number of subtenants; which parts may be sublet; or the terms of the subleases that may be granted.
In the case of an assignment, the original tenant will typically be required to provide a  authorised guarantee agreement that the new tenant will honour its obligations.
Can I alter the property to suit my business?
Most leases allow the tenant to carry out alterations as long as they obtain the landlords consent and oblige the landlord to be reasonable about giving consent. It is quite common for this right to be restricted to internal non-structural alterations.
Anything more than minor alterations may require a formal Licence for Alterations to be drawn up by solicitors including the fitting out works at the beginning of the lease. The tenant will usually have to undertake to return the premises to their original condition at the end of the lease, if the landlord requires it.

What other terms will the lease contain?
Landlords and tenants are completely free to agree whatever terms they wish although a clause would not be enforceable if it infringed the legal protection granted to all tenants under the law. Inevitably, landlords try to retain a degree of control by placing restrictions on the use of the premises or to whom it may be assigned or underlet, but if these restrictions are too onerous, they will affect the rent the landlord is likely to receive at rent review or on renewal – so most landlords are reasonably commercial about this.
What happens at the end of the lease?
Leases of business premises longer than a year automatically have security of tenure. At the end of the lease, the tenant has the right to a new lease for up to 15 years on terms similar to the old lease but at market rent. There are certain circumstances in which the landlord can prevent the tenant exercising that right, e.g. if he wishes to redevelop the premises, but otherwise if the landlord and tenant cannot agree a new lease, then a court will grant a new lease on terms it considers are reasonable under the circumstances. It is possible for the landlord and tenant to agree at the outset that the tenant will not have this right to renew. This is called ‘contracting out’ or taking an ‘excluded lease’. It is quite common to do so in the case of small to medium sized office suites in multi-let buildings, but rare in the case of shops or industrial and warehouse premises
When the tenant eventually leaves they will normally have to return the premises to the landlord in good repair and, if the landlord requires, put back to the original specification, i.e. with any alterations reinstated. This liability for repairs, called dilapidations, can be substantial at the end of the term – if the work is not done the landlord can seek damages. If the premises are in a poor condition at the outset, however, it can be limited somewhat by arranging for a Schedule of Condition to be prepared and attached to the lease. The tenant’s obligation is limited to maintaining the premises in no worse a condition than that demonstrated by the schedule.