Posts Tagged ‘retail’

Oury Clark Solicitors

Tenancy

Oury Clark Solicitors Blog - June 10th, 2009 by Denis Raingold
  • Denis Raingold

  • Position: Partner OCS
  • Phone: +44 (0)20 7067 4300
  • Fax: +44 (0)20 7067 4301
  • Email: Denis.Raingold@ouryclarksolicitors.com
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    Denis Raingold at ouryclark.com

Many tenants, particularly those in the retail sector are seeking temporary side agreements to vary the rental payment provisions under their leases for the duration of the current slow-down. Typically, leases require tenants to pay rent quarterly in advance; in an effort to regulate cash flow in difficult trading conditions, some tenants are seeking to reduce the advance period, usually to a month. For more distressed tenants some landlords are agreeing to reductions in rent, applying the maxim that some rent is better than no rent at all, which could be the effect of a tenant becoming insolvent and the subsequent void that could result.

For landlords, it is important to consider carefully from a commercial perspective any requests to vary rental payments; if the property [...]

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