We are delighted to confirm we have received instructions to undertake a commercial building survey for our Client near Guildford Surrey.
Our Client is expanding their business and to accommodate this they have secured retail accommodation occupying part of the ground floor of a period building. The landlords building is understood to include further retail space with residential flats to the first and second floors above.
The draft lease sets out our Clients’ obligations which includes the repair and decoration of their proposed demise along with the service charge provisions undertaken by the landlord. Our Client will be liable for nearly 50% of the service charge so the survey will not only focus on the ground floor demised space but include those areas covered by the service charge. This will include the external elements of the building and any accessible internal common parts which the landlord will be responsible to maintain.
The implications of the service charge is often overlooked when considering taking a lease on a multi-occupied building. Depending upon the nature of the building and the portion of service charge the tenant would be liable for, the cost to the tenant could be substantial in the event major works are required. We would always advise that any commercial building survey include the demised areas along with those elements for which the tenant has a service charge liability for, however small.
As experienced chartered building surveyors we understand that acquiring a building, whether it be freehold or leasehold can be be a complex and potentially a costly process. We offer our Clients bespoke advice to ensure they understand the potential issues with the condition of the building they are looking to acquire an interest in. Once a building survey is undertaken we are also able to offer advice on limiting our Clients’ repairing obligations.
