At Darlingtons, we specialise in commercial property and advise both landlords, current tenants, assignees and guarantors on commercial property lease assignments – get in touch for a quote or advice.
Where a landlord refuses an assignment of a fixed term tenancy, a tenant can serve a notice of termination on the landlord.
Tenants of Approved Housing Bodies are not permitted to assign or sublet their tenancy.
If a tenant assigns a dwelling to an existing sub-tenant, the Part 4 tenancy will continue to exist in favour of the new assignee for the remaining period of the original Part 4 tenancy and the assignee becomes the tenant of the Landlord.
Assignment can only take place with the consent of the landlord.
Outside of extraordinary circumstances (please see Rights and obligations), the only legal way to get out of a lease is to sublet or transfer your lease.
In certain cases, such as Joint tenancy, there may be restrictions on the right to sublet or transfer the lease.
Subletting occurs when a tenant permits another party to lease the rental property that the tenant has leased from the landlord.
The tenant then assumes the position of landlord (known as the head tenant) in relation to his or her subtenant.
The process for a commercial lease assignment can be complex, costly and frustrating, so whether you are the Landlord, current tenant or are interested in taking over an existing lease it is important to get good advice.
If you are taking over an existing commercial lease, remember you are taking over all the liabilities as well as the rights.