Manchester Conveyancing Solicitors | Ford Banks Irwin Solicitors - The Property Lawyers in Manchester on Commercial Business Leases
Please note: Not to be used or relied upon without legal advice. These notes are for illustration purposes ONLY
continued from page 15 . . .
Leases - Extension of Leases
A Lease by Conveyancing Solicitors and Property Lawyers may be extended by the grant of a new Lease, to either:
- take immediate effect, or
- commence on a future date
Where the new Lease takes immediate effect
In this case, the Lessees are taken, as a matter of Law, to have surrendered their original Lease ('the old Lease') immediately before the new one commences. This rule is based on the doctrine of estoppel. Because the new Lease is inconsistent with the old Lease the Lessees are estopped from denying that the old Lease has come to an end.
The rule applies irrespective of the intention of the parties.
The surrender of the old Lease must be effected on the Property title deeds and the new Lease registered in its place.
If the applicant's existing leasehold title is registered, Conveyancing Solicitors and Property Lawyers should apply for closure of that title.
If the old Lease is not registered, but is noted in the Lessor's title, Conveyancing Solicitors and Property Lawyers should apply for cancellation of the notice.
There may be occasions where the new Lease takes effect subject to the existing Lease and the existing leasehold title is not closed.
Use of deeds of variation
It is clear in Law that the term of a Lease cannot be extended by deed. Conveyancing Solicitors and Property Lawyers should, therefore, avoid using a deed of variation to either:
- vary the length of a Lease by a increasing the term, or
- increase the Land demised.
However, is such deeds are lodged for registration Land Registry will treat them as an immediate surrender of the old Lease and the grant of a new Lease. (NB: This paragraph does not related to a deed of rectification entered into where the Lease as drawn does not reflect the original intention of all the parties).
Where the new Lease commences on a future date
The new Lease may commence at any time up to 21 years from the date of the grant, see section 149(3) Law of Property Act 1925. Therefore, if the old Lease has less than 21 years to run, the new Lease may be granted to commence on its expiry.
If the old Lease has more than 21 years to run, it will have to be shortened, by either:
- a separate deed of variation, or
- suitable wording in the new Lease, so that it determines just before the commencement of the new Lease.
New Lease taking immediate effect - Land Registry application
In this case Conveyancing Solicitors and Property Lawyers will need to lodge applications to register the new Lease and either:
- close an existing registered leasehold title, or
- cancel the notice of an unregistered Lease, noted on the lessor's title.
Registration of the new Lease
Conveyancing Solicitors and Property Lawyers need to lodge the application in either:
- form FR1 with form DL, in duplicate, if the application is for first registration (rules 23 and 24(1)(d) Land Registration Rules 2003) or
- form AP1 if the Lease is out of a registered title (rule 13 Land Registration Rules 2003).
NB: if granted on or after 19 June 2006 a Lease out of a registered title must be a prescribed clauses Lease.
Conveyancing Solicitors and Property Lawyers will need to lodge, as appropriate:
- the new Lease together with a certified copy
NB: Land Registry will retain the original Lease, if a certified copy is not lodged with the application (rule 203 Land Registration Rules 2003)
- the appropriate SDLT certificate
- the consent of the Lessor's mortgagee, if required
NB: Where the consent is not lodged, Land Registry will make the following entry in the Property register of the new title:
'The title to the Lease is, during the subsistence of the charge dated . . . in favour of . . . affecting the Lessor's title (and to the extent permitted by Law, any charge replacing or varying this charge or any further charge in respect of all or part of the sum secured by this charge), subject to any rights that may have arisen by reason of the absence of chargee's consent, unless the Lease is authorised by section 99 of the Law of Property Act 1925'
(All italics in this page are Crown Copyright and reproduced here for your information with permission from HM Land Registry)
. . . continued on page 17 (Manchester Conveyancing Solicitors Property Lawyers on Commercial Business Leases 17)
Please telephone Paul on 0161 866 8999 if you require any further information.
Ford Banks Irwin Solicitors
50 Stothard Road
Stretford
Manchester
M32 9HB
Tel: 0161 866 8999
Fax: 0161 866 8333
E-mail: info@FordBanksIrwinSolicitors.co.uk
Or you can use the ENQUIRY FORM (click here).
(you may need to press control 'Ctrl' button on your keyboard when clicking on the enquiry form link if you have a pop up blocker active)
Manchester
City Centre Serviced Office - Conference rooms are also
available by prior appointment at:
Manchester
Conveyancing Solicitors | Ford
Banks Irwin Solicitors
Pall Mall Court
King Street
Manchester
M2 4PD
Tel: 0161 866 8574
Please telephone 0161 866 8999 for a free quote.
Manchester Conveyancing Solicitors Property Lawyers on Business Leases page 1 | Manchester Conveyancing Solicitors Property Lawyers on Business Lease page 2 | Manchester Conveyancing Solicitors Property Lawyers on Business Leases 3 | Manchester Conveyancing Solicitors Property Lawyers on Business Lease page 4 | Manchester Conveyancing Solicitors Property Lawyers on Business Leases 5 | Manchester Conveyancing Solicitors Property Lawyers on Business Lease page 6 | Manchester Conveyancing Solicitors Property Lawyers on Business Leases 7 | Manchester Conveyancing Solicitors Property Lawyers on Business Lease page 8 | Manchester Conveyancing Solicitors Property Lawyers on Business Leases 9 | Manchester Conveyancing Solicitors Property Lawyers on Business Lease page 10 | Manchester Conveyancing Solicitors Property Lawyers on Business Leases 11 | Manchester Conveyancing Solicitors Property Lawyers on Business Lease page 12 | Manchester Conveyancing Solicitors Property Lawyers on Business Leases 13 | Manchester Conveyancing Solicitors Property Lawyers on Business Lease page 14 | Manchester Conveyancing Solicitors Property Lawyers on Business Leases 15 | Manchester Conveyancing Solicitors Property Lawyers on Business Lease page 16 | Manchester Conveyancing Solicitors Property Lawyers on Business Leases 17 | Manchester Conveyancing Solicitors Property Lawyers on Business Lease page 18 |