Valid Landlord Redevelopment

Header Business Rates Liability During Redevelopment​

In light of the change in MEES and the 1st April 2018 date quickly looming, perhaps rather than renew a lease, it gives the chance for the Landlord to redevelop the property. However, the recent case of S Frances Ltd v The Cavendish Hotel (London) Ltd shows how it is the Landlord’s intention, not motive that is considered by the court.

This case is a reminder that to satisfy ground (f) the Landlord must demonstrate an intention to carry out the works on ‘termination of the current tenancy’, however there is usually a reasonable period allowed after the end of the lease as it is unlikely work would commence the very day a tenancy ends. In the S Frances case, the Landlord required an additional 12 months to conclude outstanding planning issues, this was appealed as there was no adequate explanation as to why so long was required.

Therefore, in applying for ground (f) the parties, their lawyers and their agents/experts should be prepared to have to go into the “why, what and when?” of the application in fine detail.

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