Let premises to company- effect? deposit? ending?

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    Let premises to company- effect? deposit? ending?

    A UK company wants to rent my property for 12 months (minimum) as furnished, and put some employees in it who are working in the area on a longterm contract.

    I have no concerns about the company's status but i dont know which type of agreement i need and who i get to sign it.

    Also, who insures the contents (Most of which im buying).

    Thanx
    Paul

    #2
    company let

    it can only be a company let agreement, which is outside of the housing act.

    and the law in relation to this is totally different from your normal shorthold assured.

    It is for a fixed period and cannot run over this period of time.

    make sure the company is SOUND, and credit checked, bearing in mind the company will put who they like into the property, as and when they like, and you may well find your insurance company will want to know of any name changes............................

    definately check out the legal aspects of it since it is different, and no you cannot use an AST for a company let.
    The above opinion, and or information, is based on my day to day knowledge and practical experience, also the professional code of good practice that i follow as a qualified Letting Agent. With over 25 years of experience letting properties.

    Comment


      #3
      Renewing a residential tenancy to a limited company

      I am new landlord, coming to the end of my first six month tenancy of a residential property to a limited company. As this was my first property, I used an agent to tenant-find, credit check, draw up contract etc.

      I have recently liaised with the tenants (ie company) who confirm they wish to extend/renew for a further 12 months.

      But I have a few questions, which I hope someone might help with:

      1: Can I use the existing TA, as drawn up by the letting agent, and just make appropriate amendments eg. to the dates, names of permitted occupants etc?

      2. Re. length of new tenancy, and timing of rent increases: there is the following clause in the current TA:



      BUT I'm happy to keep the rent fixed at the current rate for another 6 months. So am I obliged to stick to the terms of the agreement and extend for only 6 months, even though they and I want 12 (they are good tenants and I want to keep them).

      Or, if I can and do extend for 12 months, with a rent increase (of between 3-6%) after 6, how might I phrase this in the new Tenancy Agreement? If possible I'd like to avoid going back to the agents and arrange this myself to keep costs down.

      I hope the above makes sense. Any ideas or advice gratefully welcomed!
      Tania

      Comment


        #4
        1. You could use existing Agreement but (a) it might be copyright and (b) I hope that it is not drawn as an Assured Shorthold Tenancy- a company is not legally competent to hold an AST.

        2. As T did not serve renewal Notice, we assume, the italicised clause was never brought into operation. You and T can agree anything you like in new Agreement.
        JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
        1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
        2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
        3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
        4. *- Contact info: click on my name (blue-highlight link).

        Comment


          #5
          Thanks Jeffrey - the agreement was specifically drawn up for a limited company let, not as an AST.
          But how would I know if it's copyrighted? Would I have to seek agent's consent to use it?

          Comment


            #6
            If it's not marked with the (c) symbol, nor with their firm's details as being one that they themselves prepared from scratch, you should probably be OK.
            JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
            1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
            2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
            3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
            4. *- Contact info: click on my name (blue-highlight link).

            Comment


              #7
              ctaniab, before you get involved with drawing up a new contract with T yourself directly, please have a look at the terms and conditions that you have signed with the letting agent. If the letting is in London area and you did not negotiate the renewal terms with the LA, I'm almost certain that you will find that you have signed away to pay them the renewal fees for as long as the T keeps renewing whether directly or through them.

              I know that on this forum the common belief is that the LA is only entitled for the fees for tenant finding and not for any renewals. It has been suggested that one can contact OFT for unfair terms but I can assure you that if you have signed the T&C with LA and he takes you to court for the renewal fees, LA will get their fees.

              Please have a look at the following thread, after seeking advice from my solicitors, I had to pay in the end, however the LA in my case agreed for 50% of the fees.

              http://www.landlordzone.co.uk/forums...ead.php?t=3428

              Comment


                #8
                Can landlord terminate residential letting to company?

                Please could one of you help with some advice.

                Permitted occupier wanted a new 6 month contractual agreement to run on after his contractual tenancy finished. Old tenancy ends 3rd October 2007 and the new on commences on the 4th October 2007 - 3rd April 2007.

                The permitted occupier has now adviced that he wishes to vacate the property prior to the end date of 3rd April 2008 and wants to give two months notice to vacate in Dec 2007.

                The permitted occupier states that because he nor his company has not signed the agreement that it is not valid. But his company has not surrender the property and I believe that the tenancy is enforcable because they are still living in the property.

                Where do I stand ?? Can I enforce the Contractual tenancy even if they havent signed ?? please help asap

                thanks

                Comment


                  #9
                  You (L) received rent. He occupied. This makes it a tenancy, even if nothing in writing or signed. Is T the occupier or his company?
                  JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
                  1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
                  2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
                  3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
                  4. *- Contact info: click on my name (blue-highlight link).

                  Comment


                    #10
                    All that appears to have happened is that the tenancy is now a (monthly) periodic one determined by either a clause in the exisiting tenancy agreement or by tha payment of rent. It doesn't give you the landlord right of rent until a further 6 months has elapsed as there is no further signed agreement, unless of course you have evidence of an oral agreement made in front of a witness or two for another fixed term!
                    The advice I give should not be construed as a definitive answer, and is without prejudice or liability. You are advised to consult a specialist solicitor or other person of equal legal standing.

                    Comment


                      #11
                      Reply to Paul F

                      Thanks for the advice

                      But this is not an AST but a contractrual tenancy agreement - company agreement therefore a 6 month period at a time and cannot go periodic.

                      What do I do ?

                      thanks again

                      Comment


                        #12
                        Originally posted by maria1234 View Post
                        This is not an AST but a contractrual tenancy agreement - company agreement therefore a 6 month period at a time and cannot go periodic.
                        Not so. Continuation as a periodic tenancy applies to a common-law contractual tenancy (and to a business tenancy, too) just as it does to an AST. Continued monthly rent payment and property occupation is all that are needed to evidence a monthly tenancy, albeit not necessarily on same basis as fixed term.
                        JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
                        1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
                        2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
                        3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
                        4. *- Contact info: click on my name (blue-highlight link).

                        Comment


                          #13
                          Originally posted by Paul_f View Post
                          It doesn't give you the landlord right of rent until a further 6 months has elapsed as there is no further signed agreement, unless of course you have evidence of an oral agreement made in front of a witness or two for another fixed term!
                          No. Payment of rent by T is itself evidence of an oral tenancy.
                          JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
                          1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
                          2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
                          3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
                          4. *- Contact info: click on my name (blue-highlight link).

                          Comment


                            #14
                            Help re company contract please

                            I have a company who wish to rent a house from me, they are not Ltd or PLC so my referencing company won't reference them under a company rent guarantee. They are a sole trader (15 yrs) and wish to use the house for three of their staff.
                            I need clarification on how best to approach this in a referencing capacity and also for the tenancy agreement.
                            My initial thoughts are to reference the sole trader and clarify sufficiant funds for 6 months rent, then offer a company tenancy agreement? (so that I don't need to include individual tenants)
                            Your advice would be very much appreciated.

                            Comment


                              #15
                              Originally posted by Pinklily View Post
                              I have a company who wish to rent a house from me, they are not Ltd or PLC so my referencing company won't reference them under a company rent guarantee. They are a sole trader (15 yrs) and wish to use the house for three of their staff.
                              I need clarification on how best to approach this in a referencing capacity and also for the tenancy agreement.
                              My initial thoughts are to reference the sole trader and clarify sufficiant funds for 6 months rent, then offer a company tenancy agreement? (so that I don't need to include individual tenants)
                              Your advice would be very much appreciated.
                              Warning: it is NOT a company at all, only an individual using a business name for trading! As a result, you will NOT be creating a company let.
                              JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
                              1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
                              2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
                              3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
                              4. *- Contact info: click on my name (blue-highlight link).

                              Comment

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