What You Should Know About Commercial Property Law in the UK
Since each investor has unique needs, every property is unique as well. If you want to purchase commercial property in the UK, there are a few legal issues that you should be aware of beforehand. Here’s what you need to know about commercial property laws in the United Kingdom.
Freehold vs. Leasehold
The type of ownership, as well as the legal rights of a property, can have a significant impact on the value of both freehold and leasehold properties.
Freehold property – It is an investment that does not have a time limit. As the owner of this type of property, you control and own it as well. This includes the land it is on, any structures that are on it, the soil underneath it, as well as the airspace that is above it. On the other hand, your ownership of the building may be restricted by third parties who may have rights to access said property.
Leasehold property – A leasehold property has limited ownership, meaning that it is limited to the length of the lease. Some of these include flats and most properties that can be purchased in central London. A lease is the main document that has all of the details of the landlord or owner of the property and the tenant or the occupier of the property. The contents of the lease will differ depending on the type of property you hold as well as the relationship between you and the tenant.
The length or term of business leases has been reducing over the years, with most being just under 8 years. However, some tenants who work in commercial properties have the legal right to increase it. With a premium, longer leaseholds can be held almost indefinitely, but these usually have lower rents.
There are 2 ways you can acquire leasehold property. You can receive it from the owner of the property or by a current tenant (sublease). You may even get an existing lease from a tenant if the terms allow them to assign their interest to a third party.
How Jackson Longe Can Help
If you are in search of commercial property, get Jackson Longe in your corner. As one of the leading in the country, we cater to both private individuals as well as business owners.
We are determined to provide high-quality legal assistance that has your best interests at heart. Our approach is practical, friendly, and professional. We understand that each case is unique, and we tailor our services to ensure you receive the best legal aid for your unique circumstances. Get in touch for a consultation today on 0208 332 2069.