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16COMLW

Commercial Leasing Update

NZ $35.00
incl GST
Paul Calder 2015 Karen Overend 2015
Paul Calder
Partner, Duncan Cotterill
Christchurch
Karen Overend
Partner, Duncan Cotterill
Christchurch

Authors: Paul Calder, Karen Overend
Published: 9 November 2015
Pages: 29

Introduction

Leases are important – they are long-term, binding commitments. They are likely to be the largest investment that a tenant will make in its business. A well drafted lease can make the difference between a business succeeding or failing.

For a landlord, a lease represents and protects a major asset, being not only the property itself, but the rental revenues reflecting a large source of income.

Leasing is one area of law that currently relies very much on standard forms. This was not always the case, and experienced practitioners will recall the days when every landlord had a bespoke lease drafted for its properties.

Although to a large extent leasing has now been standardised, we wonder whether this has become too prevalent. As each landlord and tenant is different, very few commercial leasing situations will exactly fit the standard forms currently available on the market. There is also a tendency for clients to sign up to a standard form, without necessarily realising the effect of certain provisions in that form.

While the standard form leases available provide an excellent base, it is important to carefully consider the circumstances of the landlord and tenant (and the relevant premises). It is also necessary to consider whether the lease needs to be customised to fit the needs of the relevant parties and reflects the commercial reality of the premises being leased.
 

Content outline

 
  • Types of commercial leases
  • Critical lease terms
  • Maintenance and outgoings
  • Off-plan leasing
  • Seismic performance
  • Case law update - recent trends and developments
View contents page

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