Case Note 1
Property: Brimsdown Springs, Units 3,4 & 5 Enfield Industrial Park, Jute Lane, Brimsdown, Enfield, EN34 7YH
Tenants: Mr Reg and Sid Smalls
Summary: The tenants require a similar lease to the current one as it is due to expire on 24th March 2010, but it has statutory security of tenure. They have occupied the premises for 20 years using it as a factory. Now they are looking for a 21 year lease with 7 year upwards only rent reviews. However, they are also looking for a rent reduction £43,500 to £37,500 and a change from FRI terms to IRI. A planning application has been made by the client to redevelop the site, but the lease on the factory next door does not end until 2013 and does not contain a break clause.
Case Note: The tenancy is place is a business tenancy and the lease in question is due to come to an end of 24th March 2010. If the lease is not brought to an end it will continue automatically as it contains the core of security which is offered by s24 of the LTA Act 1954 which means any tenancy which falls within the Act will not come to an end unless it is terminated in accordance of the Act. Therefore, the Brimsdown Springs tenancy will not end simply by the effluxion of the time as it is a fixed term tenancy and the landlord will have to use common law methods by serving a notice in accordance with the Act to bring the tenancy to an end. The notice served must give a minimum time of 6 months, but at the same time cannot be longer than 12 month period.
A tenancy to which this part of this Act applies shall not come to an end unless terminated in accordance with the provisions of this part of this Act; and, subject to the following provisions of this Act either the tenant of landlord under such a tenancy may apply to the court for an order for the grant of a new tenancy -
a) If the landlord has given notice under s25 of this Act to terminate the tenancy or
b) If the tenant has made a request for a new tenancy in accordance with s26...