Commercial Lease – Entitlement to a new tenancy

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A Tenant in certain circumstances may have a right to a new tenancy, which can arise following the expiration of their existing tenancy. The following key matters should be considered:-

  • Has the Tenant been in occupation of the premises as a business premises for a period of in excess of 5 years
  • If so, in the absence of any contractual arrangement where the Tenant may have contracted out of its statutory entitlement to a new tenancy, a Tenant may be entitled to a new tenancy
  • A Tenant would serve upon the Landlord a Notice of Intention to Claim Relief if seeking a new tenancy
  • A Landlord and Tenant can seek to agree the terms of the new tenancy.
  • If agreement cannot be reached, then the Tenant can apply to Court to fix the terms of the tenancy, to include rent and term
  • A Tenant has an entitlement to a new 20 years Lease, or a lesser period as a Tenant may nominate provided such term is not less than 5 years without the Landlord’s agreement
  • A Tenant’s right to a new tenancy may be restricted on certain grounds, to include non-payment of rent, where Notice to Quit has been served by the Landlord arising from breach of covenant of the Tenant or for where the Landlord gives notice for good and sufficient reason
  • Good and sufficient reason is typically where a Tenant does not pay rent or fails to keep the premises in a good state of repair and condition

For more information on this topic, please contact Godfrey Hogan on godfrey@gibneyhogan.ie

The content of this article is provided for information purposes only and does not constitute legal or other advice.

Contact

Godfrey Hogan Partner Gibney Hogan LLP Law Firm – Dublin, Ireland

Godfrey Hogan

Partner

Godfrey is a pragmatic lawyer with nearly three decades of experience to his name, he has amassed considerable expertise in acting for developers and businesses alike from inception to completion.