Business moves fast and to keep up to date, it is important to pivot as the needs of customers change. Many businesses, in an effort to keep up with trends, can increase their offerings or start selling new products. Before you start with this, it is important to take 3 factors into consideration:- User clause – Leases can have restricted or open user clauses. Examples of a restricted clause can be “car repair garage” or “newsagent.” Examples of open clauses are “any use class within class E.”
– Class E – This clause was introduced in 2020 as part of the Use Class Order and it removes and recategorises shops, offices, minor industrial, and clinical uses into one category. This allows a change of use within the category without needing planning permission in some cases. –
Landlord’s consent – A landlord’s consent is required in most leases to effect a change of use, and doing so without written consent can constitute a breach of lease, which can lead to forfeiture.
To summarise, the introduction of Class E has led to more options for both landlords and tenants. If your business needs to adapt and you are considering different uses, it is important to understand your lease’s user clause and what consent is required from your landlord.
Olawill can provide strategic lease advice to ensure your lease can be as flexible as you intend your business to be and advise on your options. Call us today for a free consultation! 📞
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