Whether you are a tenant or a landlord of commercial property, it is important that you both understand your duties and responsibilities dictated by law, and those written into your leasing contract for the property that is being rented.
As the landlord, it is important to ensure that you do your bit on health and safety, and that the tenants are also aware of their duties in relation to the laws too. Tenants will be responsible for things like ensuring that they do not obstruct fire exits, but you may be responsible to ensure that fire alarms are installed and maintained.
Even if you are the landlord and are responsible for the commercial mortgage, and own premises, it often falls partly on the tenant to ensure that health and safety is complied with. For instance rules like obstruction of stairways will often be down to the tenant to ensure boxes and are blocking stairwells and so on.
The contract determines who holds the duty for electrical safety, and this would normally be the tenant when it comes to electrical equipment used within the building, although the landlord will usually have to take responsibility for any electrical items that cover the whole building such as wiring.
Fire safety is another important issue and, again, the responsibility for this is shared between you and your tenant(s). Whilst your tenants may have responsibility for ensuring that fire safety regulations are adhered to in the premises they rent, you will typically have overall responsibility for the building. So, you are likely to have ultimate responsibility for building systems such as a fire alarm.
Fire safety is another responsibility that is shared between the tenants and the landlord. If a building is occupied by several businesses or tenants, you as the landlord must ensure that communal areas are maintained in accordance with fire safety regulations, but the tenants will be responsible for their own areas such as a fire door out of the office.
Energy Performance Certificates (EPCs) are something that the landlord must also provide the tenants with before they lease the property, as this indicates the energy efficiency of the premises and it is also useful as it recommends ways to increase the efficiency saving on bills and reducing the carbon footprint.
One of the most important duties as the landlord is to keep up with your commercial mortgage. Failure to pay could mean that your property is at risk, which of course would also adversely affect the business who lease the property as they would have to relocate which can be costly.
The division of responsibility for the upkeep of the commercial property itself is likely to be your final concern. Again, the duties are generally shared between landlord and tenant, with the tenant usually responsible for internal repairs and maintenance. The landlord will generally be responsible for external repairs or maintenance to communal areas or areas for which a service charge is payable (upkeep or a car park or grounds, for example).
Unlike residential tenancy agreements, the duty of care under a commercial lease is often on the tenant, not the landlord. Even if this is the case, it is recommended that you set out both your and your tenants responsibilities in a lease or other contractual agreement before the tenancy begins.
As the landlord, it is important to ensure that you do your bit on health and safety, and that the tenants are also aware of their duties in relation to the laws too. Tenants will be responsible for things like ensuring that they do not obstruct fire exits, but you may be responsible to ensure that fire alarms are installed and maintained.
Even if you are the landlord and are responsible for the commercial mortgage, and own premises, it often falls partly on the tenant to ensure that health and safety is complied with. For instance rules like obstruction of stairways will often be down to the tenant to ensure boxes and are blocking stairwells and so on.
The contract determines who holds the duty for electrical safety, and this would normally be the tenant when it comes to electrical equipment used within the building, although the landlord will usually have to take responsibility for any electrical items that cover the whole building such as wiring.
Fire safety is another important issue and, again, the responsibility for this is shared between you and your tenant(s). Whilst your tenants may have responsibility for ensuring that fire safety regulations are adhered to in the premises they rent, you will typically have overall responsibility for the building. So, you are likely to have ultimate responsibility for building systems such as a fire alarm.
Fire safety is another responsibility that is shared between the tenants and the landlord. If a building is occupied by several businesses or tenants, you as the landlord must ensure that communal areas are maintained in accordance with fire safety regulations, but the tenants will be responsible for their own areas such as a fire door out of the office.
Energy Performance Certificates (EPCs) are something that the landlord must also provide the tenants with before they lease the property, as this indicates the energy efficiency of the premises and it is also useful as it recommends ways to increase the efficiency saving on bills and reducing the carbon footprint.
One of the most important duties as the landlord is to keep up with your commercial mortgage. Failure to pay could mean that your property is at risk, which of course would also adversely affect the business who lease the property as they would have to relocate which can be costly.
The division of responsibility for the upkeep of the commercial property itself is likely to be your final concern. Again, the duties are generally shared between landlord and tenant, with the tenant usually responsible for internal repairs and maintenance. The landlord will generally be responsible for external repairs or maintenance to communal areas or areas for which a service charge is payable (upkeep or a car park or grounds, for example).
Unlike residential tenancy agreements, the duty of care under a commercial lease is often on the tenant, not the landlord. Even if this is the case, it is recommended that you set out both your and your tenants responsibilities in a lease or other contractual agreement before the tenancy begins.
About the Author:
Howard writes for Just Commercial Mortgages the UK's No1 site for the latest commercial mortgage rates and commercial property finance news.
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