• Failure to maintain and repair - Property deterioration during tenancy
• Damage beyond fair wear and tear - Excessive deterioration from use
• Alterations not reinstated - Fit-outs, partitions, fixtures not removed
• Decoration not maintained - Failure to redecorate per lease requirements
• Outstanding statutory compliance - Fire safety, asbestos, H&S issues
• Failure to yield up in covenanted condition - Property not returned as required

Most commercial leases in Milton Keynes, Bedford, and Northampton are FRI leases placing full repairing responsibility on the tenant, regardless of property condition at lease start.

Under FRI leases, tenants must:

• Maintain and repair the entire property throughout the tenancy
• Return property in good repair at lease end
• Carry out repairs regardless of whether defects existed when they took occupation
• Pay buildings insurance premiums
• Comply with all statutory requirements

A schedule of condition prepared at lease commencement documents the property's existing state with photographs and detailed descriptions. This limits the tenant's repairing obligation - they must return property no worse than the condition recorded in the schedule.

What Should Be Included:

• Comprehensive photographs of all areas
• Detailed written descriptions of condition
• Documentation of all existing defects
• Notes on decoration state
• Services condition
• External areas and structures

Cost: £1,000-£3,000 typically - a bargain compared to potential savings

This crucial legislation caps landlords' dilapidations claims at the diminution in property value caused by disrepair.

Section 18(1) is particularly significant when:

• Landlord intends to demolish - No diminution if building is being demolished
• Substantial redevelopment planned - Repair costs irrelevant if property being redeveloped
• Property would be refurbished anyway - No diminution if landlord was planning works
• Market conditions - If repairs don't affect rental value or sale price
• Property being sold - Sale price demonstrates actual diminution

Supersession applies when landlords' intended works would supersede repairs claimed in dilapidations schedules.

Example: Landlord claims £15,000 for redecoration and ceiling repairs. But landlord intends to strip out and reconfigure the office space anyway. These claimed repairs would be superseded by the landlord's works, so cannot be recovered.

When Supersession Applies:

• Landlord planning full refurbishment
• Demolition or substantial alteration intended
• Change of use requiring complete refit
• Works would necessarily involve removing/replacing claimed items

Landlords cannot profit from dilapidations claims through betterment - receiving property in better condition than lease covenants required.

Examples:

• If lease requires "good repair," landlord can't claim for works that would put property in "excellent repair"
• If replacing like-for-like is adequate, landlord can't claim for upgrades to superior materials
• Modern equivalent specifications may cost less than exact replacements

Yes, carrying out repairs before vacation can reduce liability, and is often cheaper than settling claims. However, ensure works meet lease covenant standards - poor quality repairs may not discharge obligations and landlord can still claim.

Best practice: Get professional contractors, obtain proper invoices, take photos of completed works. This provides evidence you've complied with obligations.

Six years from lease end for most claims under contract law. However, landlords should serve schedules reasonably promptly (typically within 2-6 months of vacation). Unreasonable delays may affect recoverability.

Engage experienced RICS surveyors to challenge excessive claims and negotiate reasonable settlements. Most claims settle at significantly reduced levels (60-70% of original demand) through professional negotiation.

Payment plans can sometimes be negotiated. In extreme cases, consider company voluntary arrangement or administration, but seek professional advice first.

Not exactly - you must return it in accordance with lease covenants, subject to fair wear and tear. If you have a schedule of condition, you only need to return property no worse than the documented initial condition.

Without a schedule of condition, FRI leases may require you to return property in "good repair" regardless of its condition when you took occupation - hence schedules are so valuable.

Most dilapidations disputes settle at 60-70% of the landlord's original claim through professional negotiation. Factors affecting settlement:

• Strength of Section 18(1) arguments
• Evidence of landlord's intentions (supersession)
• Quality of schedule of condition (if exists)
• Fair wear and tear arguments
• Whether items are genuine lease breaches
• Reasonableness of landlord's costings

Well-prepared responses by experienced surveyors frequently achieve 50% or better reductions.