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Real estate law and practice (property law) university of law complete
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RE12 Alice HickGrant of a lease and leasehold management
Exceptions, reservations and rights in a lease of part
Where the property is PART of a building, care must be taken to properly identify and describe
the RIGHTS which are to be granted to the tenant to enable proper use and enjoyment of the property and
the EXCEPTIONS made and the RIGHTS RESERVED to the landlord to retain control over the remainder of
the building
Landlords take responsibility for the repairs BUT
SERVICE CHARGE – charge them back to the tenant so they do not incur costs
Exceptions and Reservations are rights over leasehold property which benefit the landlord.
They may, for instance:
o Enable the landlord to develop neighbouring property without interference.
o Assist the landlord in ensuring the tenant complies with the terms of the lease.
EXCEPTION: something that ALREADY EXISTS and would be part of the lease, but is excluded from the
grant (for example, mineral rights). I.e. the landlord retains this right.
RESERVATION: something that is NOT IN EXISTENCE at the date of the grant but which arises out of the
demise e.g. a right of entry for the landlord.
Common exceptions and reservations
Reserve all Rights of This would prevent the Tenant from acquiring a prescriptive Right of Light and hence enable
Light the Landlord to deal with his neighbouring land free from interference of such a right.
Reserve all Rights of This would ensure the landlord the Landlord to deal with his neighbouring land free from
Support and interference of such a right.
Protection
Reservations of Other Where leases of other parts of the building or estate have granted rights over any part of their
Rights Already let property to the landlord, reservations need to be made so that the landlord can still
Granted exercise these rights.
Rights in relation to landlord’s ability to carry out works on neighbouring property are reserved in appropriate
works and cases. These can be important for a landlord but a tenant will be concerned by the potential
development for disruption to its use and occupation of the demised premises
Reservation of the Rights in relation to the landlord's ability to carry out works on neighbouring property are
landlord’s rights to reserved in appropriate cases. These can be important for a landlord but a tenant will be
develop adjoining concerned by the potential for disruption to its use and occupation of the demised premises.
land
Rights of Entry The landlord will usually reserve a right to enter onto the property for a broad range of
1
, RE12 Alice Hick
purposes at any reasonable time and after reasonable notice.
This provides the landlord with an ability to deal with neighbouring land he owns.
o Tenant may wish to retain some control/supervision of the exercise of these rights (e.g. by
requiring that any works must be completed within a reasonable time scale)
o Tenant may wish to narrow the exclusion of liability and require that those exercising the
rights of entry act with due care
o In particular may wish to narrow the exclusion of liability so that there is liability for
damage to the tenant’s belongings, whether or not negligence is involved
Rights for the tenant
Right of Way To ensure the Tenant is able to access the property – over common parts/roads/doors/stairs
or lift
Right to use car park Identified spaces: two car spaces
Right to E.g. drainage, electricity, right to use the conduits.
use/Easements for Ensure the Tenant will be able to make use of utilities on the property where the wires and
any necessary utilities conduits cross land belonging to the landlord
Although s62(1) of the Law of Property Act 1925 automatically conveys numerous easements
it is often best to have these set out specifically.
Right of As second floor so floors below and if floors above
support/shelter and
protection
Right to advertise Banners, signs outside
Right to escape In case of fire
Amending a lease of part
In this scenario we considered inadequacies in a lease of part from the Tenant’s perspective.
Clause 7.3 What services is the landlord required to provide? Are they sufficient?
o provide a lift service by the lifts now installed in the Centre or by any substituted lifts which the Landlord
decides to install;
o supply hot and cold water in the toilet facilities of the Centre;
o supply central heating and air conditioning to the Property and to the Common Parts to such temperatures as
the Landlord in its discretion considers adequate;
o keep the Common Parts clean and reasonably well lit; and
o clean the outside of the windows in the external walls of the Centre as often as the Landlord considers
necessary.
Clause 6.4(a): who would be responsible for repairing the Property in the event of a fire?
2
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