Leasehold legal issues

Granting leases

Granting leases

The common-law obligations on all charity trustees (whatever the nature of their organisation) to act in a prudent and businesslike manner continue to exist alongside statutory obligations.  [Common Law duties of charity trustees]

  • The provisions of Section 117-121 of the Charities Act 2011 require charity trustees of registered and excepted charities to take valuation advice prior to committing themselves to certain property transactions. [Charities Act when valuation procedures apply]
  • Other parties may be able to influence whether you can let the property and the terms of the letting for reasons that are not mentioned in the lease itself. [Consents]
  • Whatever the purpose of the letting, charities and their trustees should consider the cost of providing the tenancy and how that should be reflected in any charges under the tenancy agreement. [Assessing the cost of providing space in a building]
  • The content of the lease should be considered in the context of the purpose of the letting  and the cost of providing space in a building should be assessed. [What’s in a lease?]
  • It is highly likely that the grant of a lease will involve some degree of change    in the activities taking place in the property.  There may be a number of legal considerations to take into account when grating a lease and it would always be prudent to consult our checklist to ensure that nothing has been forgotten.  [Changes checklist]
  • Granting leases may result in tenants having rights that are more of a burden on the landlord than anticipated. [Landlord and Tenant Act 1954]