Rent Deposit Deed for Commercial Property
PROP.MAN.08
This Rent Deposit Deed should be used where the landlord receives a rent deposit from the tenant. A rent deposit may be required where the landlord is unwilling to rely solely on the tenant’s covenant to pay the rent and observe the terms of the lease, perhaps because the tenant’s financial standing does not meet the landlord’s usual criteria.
The rent deposit deed sets out how much has been paid by way of a rent deposit and the circumstances in which the landlord may use the deposit. It records (amongst other things) where the deposit will be placed, the grant by the tenant of a charge over the deposit and the procedure for the landlord to withdraw money.
If the tenant is a company or a limited liability partnership (LLP) the charge created by the Rent Deposit Deed will need to be registered at Companies House within 21 days. If the landlord does not register the charge, the rent deposit sum may be claimed by the tenant’s liquidator or administrator if the tenant becomes insolvent. The application to Companies House is made on form MG01 (for companies) or LLMG01 (for LLPs). A fee of £13 is payable.
In panel 4 of the form (Amount secured) you should insert “The observance and performance of the tenant’s obligations in a Lease of premises at [ ] dated [ ] and made between [ ] and [ ] and in any document or deed supplemental to the Lease and against such loss expenses costs and damages as [name of the landlord] may incur as a result of a breach of a tenant covenant in the Lease”.
In panel 6 (Short particulars) you should insert “The sum from time to time in a deposit account and the company’s interest in the account opened by [name of the landlord] with [name of the bank] (or such other London Clearing Bank which [name of the landlord] may from time to time choose for the holding of such sum) being an initial sum of [ ] pounds”.
This Rent Deposit Deed is in open format. Either enter the requisite details in the highlighted fields or adjust the wording to suit your purposes.
Once you have purchased access to the appropriate document folder click on the “Download Document” button below. You will be asked what you want to do with the file. It is recommended that you save the document to a location of your choice prior to viewing.
The rent deposit deed sets out how much has been paid by way of a rent deposit and the circumstances in which the landlord may use the deposit. It records (amongst other things) where the deposit will be placed, the grant by the tenant of a charge over the deposit and the procedure for the landlord to withdraw money.
If the tenant is a company or a limited liability partnership (LLP) the charge created by the Rent Deposit Deed will need to be registered at Companies House within 21 days. If the landlord does not register the charge, the rent deposit sum may be claimed by the tenant’s liquidator or administrator if the tenant becomes insolvent. The application to Companies House is made on form MG01 (for companies) or LLMG01 (for LLPs). A fee of £13 is payable.
In panel 4 of the form (Amount secured) you should insert “The observance and performance of the tenant’s obligations in a Lease of premises at [ ] dated [ ] and made between [ ] and [ ] and in any document or deed supplemental to the Lease and against such loss expenses costs and damages as [name of the landlord] may incur as a result of a breach of a tenant covenant in the Lease”.
In panel 6 (Short particulars) you should insert “The sum from time to time in a deposit account and the company’s interest in the account opened by [name of the landlord] with [name of the bank] (or such other London Clearing Bank which [name of the landlord] may from time to time choose for the holding of such sum) being an initial sum of [ ] pounds”.
This Rent Deposit Deed is in open format. Either enter the requisite details in the highlighted fields or adjust the wording to suit your purposes.
Once you have purchased access to the appropriate document folder click on the “Download Document” button below. You will be asked what you want to do with the file. It is recommended that you save the document to a location of your choice prior to viewing.
Rent Deposit Deed for Commercial Property is part of Business . Just £38.50 + VAT provides unlimited downloads from Business for 1 year.