Whether you are the landlord of a commercial premises or you are a tenant looking to take a lease of a new business premises it is important to be aware that the initial stage of agreeing Heads of Terms can be crucial.
A recent transaction I acted on resulted in the tenant walking away due to a disagreement over the security of tenure provisions in the proposed lease. The landlord wanted to exclude security of tenure which is essentially the right for the tenant to remain in the property following expiry of the lease. The tenant however wanted this be included so that his lease would be more favourable to a potential buyer if he decided to sell his business during the term. Neither party was incorrect but unfortunately no agreement was reached and the transaction become abortive before it got started.
If you find yourself in this situation and need advice on such provisions or any other item you are looking to agree on in the initial Heads of Terms stage please do not hesitate to contact myself or the Commercial Property team at Woodfines.