Can anyone advise? FREEHOLD PROPERTY - FLAT AND SHOP - ( A3) cafe -

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    Can anyone advise? FREEHOLD PROPERTY - FLAT AND SHOP - ( A3) cafe -

    Hi,

    Can anyone help?

    I own the freehold of a shop and 2 bed flat. The shop is let out on a 5-year lease and the flat is on an AST

    There is a very large walled garden that I currently let out with the Flat

    Now since Covid 19 come along, I have ben asked by the tenants in the shop, which is run as a café if they could also have the garden for an extra premium. The tenant in the flat is more than happy for he finds it all too much and I have said I would be more than happy to give a reduction.

    Can I lease this out? Would they need a licence to use this space and if yes, would it be up to them to apply for this?

    Any help would be greatly appreciated. It is also in a conservation area, but I have been informed that for several years prior to be purchasing the property the shop always had the benefit of the garden space. I just presumed it went with the flat.

    Can anyone help or point me in the right direction.

    Thank you so much


    #2
    You need to direct your query to the local authority planning dept as you may require a change of use/planning permission.

    Comment


      #3
      Hi, Thank you,
      I have been trying to work my way through the. gov website!
      I was hoping that I could lease the garden with the shop and leave it to the tenants to apply for change of use and licence etc if required. They said they are happy to do this, but I wanted to see if this could be done without my involvement of seeking change of use etc.

      Comment


        #4
        Ref POST- Can anyone advise? FREEHOLD PROPERTY - FLAT AND SHOP - ( A3) Cafe -


        29-05-2020, 18:16 PM

        Q- The Freehold is split between Residential and Commerical IE SHOP - Shop let on a commercial Lease, Flat on AST

        Could I just add the garden to the shop lease if I wanted and that way it would be up to the tenants to seek change of use. I only let the building, they have to configure the build for the use, ie clothes shop, cafe, office space etc and apply for the change of use. Currently it does have planning for A3 class-
        for the sale of food or drink for consumption on the premises or of hot food for consumption off the premises. But
        if I stipulate there is a garden, does anyone thing it would be for me to seek planning even though I am not running the business? The tenants applied for the change of use.

        Thank you.

        Comment


          #5
          I think your simplest solution is the grant of a licence to the shop for a term expiring in no more than five months. You could accept a payment for the licence. If you were granting for six months or more there is a risk of security of tenure being acquired. By granting a licence rather than a lease, you are not granting exclusive possession of the garden, and therefore your residential tenant can still enjoy it.

          Comment


            #6
            The garden is really large and there is plenty of space to divide this up, but my tenant who leasing the shop, wants to also take over the AST which is fine by me and the existing tenant for his moving in with his partner after everything goes back to normal or the "New Normal".
            Do you think it would be at all possible to say grant a licence to the shop for them to use this, but make it a condition for them to seek all the relevant change of use etc if need be? I want to keep everything straightforward and not get involved in the change of use and planning. I just let the space and the tenants using the commercial space configure this space. I am happy to include the garden with the lease of the shop but what I am trying to say, all the change of use etc, I don't want to get involved in, just wanted to see if there was a straightforward way of doing this.

            Comment


              #7
              Thank you for everyone who responded. I actually got this sorted with the council. Their email reply had gone into spam! Stay Safe.

              Comment


                #8
                You can grant a licence on the basis that the licensor - ie you gives no warranty as to the legality of the use and on the basis that the licensee agrees to abide by any order of any competent authority, ie the council and indemnifies you. If in doubt avail yourself of the services of legal advice. But I think it could be done and the council are very unlikely to enforce unless they have a neighbour persistently complaining

                Comment


                  #9
                  Hi ,
                  Thank you, that's what I really would like to do and I think this will work once the tenant takes on the flat as well as the shop. Thank you for all your help, it is really appreciated.

                  Comment

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