Legal Guidance

Letting and hiring your property

Letting and hiring your property

The ability to let or hire property is often essential for community organisations both to raise revenue and to enable collaborative arrangements with other organisations.

  • For legal reasons you should be certain whether you are granting a lease or tenancy (the words mean the same thing) or a “licence” which is a different type of agreement that does not have the same level of legal regulation and risk. [Lease or licence]
  • The grant of a lease to a charity may be subject to a legal requirement to obtain and consider valuation advice and in some cases may require Charity Commission consent. [Charities Act when valuation procedures apply]
  • The grant of a lease will also raise the issue of whether the tenant will have security of tenure and compensation rights under the Landlord or Tenant Act 1954 or whether the effects of section 24 to 28 if the Act should or must be excluded. [Landlord and Tenant Act 1954]
  • You should ensure that what you are doing is compliant with legal requirements.  [Changes checklist]
  • The content of your documents is important.  They will regulate who is responsible for what and will have important administrative, financial implications.  Leases cover a number of standard areas and may have particular additions. [What’s in a lease]
  • You always need to consider the financial position when you are entering into agreements with others to use your premises. [Assessing the cost of providing space in a building]
  • You will owe a duty to your occupiers and users to use reasonable care to keep them safe while they are in the building or on any premises that you have outside the building and may have to pay compensation if you cease to do so. [Occupiers and users]

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