Short Term Lease for “Pop-Up” in Multi-Let Building

Lease for Pop-Up Shop in Shopping Centre

PROP.SHO.22
This Lease for Pop-Up Shop in Shopping Centre should be used where a Landlord wishes to allow a Tenant to use shop premises on a short-term basis, perhaps for seasonal trading in the run up to Christmas or for the tenant to test the water with a new retail business. It is suitable for all retail uses including shops, sandwich bars and hairdressers.

The Lease is suitable for premises situated within a Shopping Centre or other multi-let building with shared facilities.

With pop-up shops, the idea is to get the Tenant in and trading as quickly as possible. The legal documentation is therefore much shorter than a standard commercial lease and just covers the basics: rent, rates, use, termination. There is no service charge so the cost of any services or facilities provided by the Landlord must be included in the rent.

To avoid the Tenant obtaining security of tenure (the right of business tenants to remain in occupation of premises after the expiry of a lease), this Lease should only be used for a term of 6 months or less and the Tenant should not be allowed to remain in the space once the Lease term has expired. If the Tenant is to continue using the space after the term has expired, one of our Short Lease templates should be used instead.

A new Tenant is likely to want to fit-out the shop before it starts trading. Our Fit-Out Consent Letter can be used to give the Landlord’s consent.

Clause 1 contains the definitions. The definitions of Premises, Landlord’s Building and Common Parts make optional reference to a plan. It is recommended that a plan is included, showing these areas edged in different colours, so that arrangements on the ground are clear.

Clause 2 is the grant of the Lease.

Clause 3 contains the Tenant’s covenants. These cover payment of rent and other outgoings, use, alterations, alienation (no assignment is permitted) and the Landlord’s right of entry. There is a covenant to observe any regulations made by the Landlord for the Shopping Centre. This gives the Landlord the opportunity to set out rules to supplement the covenants in the Lease. For an example see our template Regulations for Occupiers of a Multi-Let Building.

Clauses 3.6 and 3.7 optionally require the Tenant to pay business rates and utilities charges but these clauses can be deleted if the Tenant is to pay an all-inclusive rent.

Clause 4 contains a covenant by the Landlord to allow the Tenant to access the Premises via the common parts of the Shopping Centre. There are also provisions regarding the provision of toilet facilities and other services – these should be adapted as required.

Clause 5 contains optional termination rights (break clauses) for both Landlord and Tenant. Clause 6 is a standard forfeiture clause for non-payment of rent or breach of covenant by the Tenant.

Clause 7 contains standard lease clauses including a provision regarding service of notices.

Optional phrases / clauses are enclosed in square brackets. These should be read carefully and selected so as to be compatible with one another. Unused options should be removed from the document.

This Lease for Pop-Up Shop in Shopping Centre 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.
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