Industrial Premises Leases and Licences
These Commercial Lease Agreements, Industrial Premises Lease and Licence Agreements have been professionally drafted for use by Landlords granting leases, licences and tenancies at will of industrial premises. They can be used for factories, workshops, laboratories, warehouses and other types of industrial property.
The documents are easy to use and within the portfolio there are leases and licences which cater for different types of premises and different lengths of term. There are versions of the documents with service charge and without service charge and with rent review and without rent review.
The documents are constructed in Word format, and can be customised to meet your requirements. Please click on the links below to view details.
Industrial Premises Leases and Licences is part of Property. Just £38.50 + VAT provides unlimited downloads from Property for 1 year.
Frequently Asked Questions
I am letting a warehouse unit, should it be a lease or a licence? +
Grant a lease for any settled letting. A lease gives the tenant exclusive possession for a fixed term and normally carries security of tenure under the Landlord and Tenant Act 1954, so the tenant can seek to renew when it ends. A licence gives only permission to occupy, no estate in land and no security, but it works only where the occupier lacks exclusive possession, for example shared storage. A court decides by substance not label, so a licence that hands over exclusive possession of a unit is really a lease.
Will my factory or warehouse tenant be able to renew the lease? +
Usually yes. Industrial tenants get security of tenure under Part II of the Landlord and Tenant Act 1954, so at the end of the term the tenant can stay and apply for a new lease, and you can oppose only on the section 30 grounds such as redevelopment or your own occupation. To let without that right you must contract out before the lease is entered into: a prescribed warning notice, then the tenant's declaration. Simply-Docs offers contracted-out versions of its industrial leases.
Who is responsible for repairs to an industrial unit under the lease? +
It depends on the lease, and most commercial lettings are full repairing and insuring, which puts the burden on the tenant. Under a full repairing and insuring lease the tenant keeps the unit in repair and reimburses the landlord's buildings insurance, so the landlord receives a clear rent. On a lease of part the landlord repairs the structure and common parts and recovers the cost through a service charge. Check the repairing obligation and any schedule of condition before signing.
Does the length of an industrial lease change registration and tax? +
Yes. A lease granted for more than seven years must be registered at HM Land Registry, so a long industrial lease needs its own title while a short one does not. Stamp Duty Land Tax, or Land Transaction Tax in Wales, is charged on the net present value of the rent over the whole term, so a longer term means more tax. Rent review is also standard on longer terms. Simply-Docs splits its industrial templates into short leases of five years or less and long leases of more than five years for these reasons.
