Under the Land Registration Act 2002, which came into force on 13 October 2003, the following commercial property leases must be registered with the Land Registry:
Â -Â new leases with terms over 7 years and
Â -Â existing leases sold or assigned with 7 years left to run.
Registration will give the leased premises its own leasehold title number, which will also be noted on the Landlord’s freehold title.
One of the requirements of applying for registration, is to submit a compliant Lease Plan of the lease premises. The plans must be drawn to a metric scale, have a scale measurement bar, have the scale noted on the plan, a 1:1250 scale location map, full address including post code and a north point. Where there are communal or shared areas, an internal layout plan may also be required to show the outline of the leased property.
The Land Registry will reject an application if any requirements are not met. It is therefore important that Landlords instruct solicitors to draft the lease documentation and commission surveyors to take measurements and produce an accurate lease plan.
The strict requirements for lease registration are of good use even where a new lease is granted for less than 7 years, as they help create clarity and avoid possible disputes arising in the future. It is therefore best practice for Landlords to adhere to the registration requirements at all times, regardless of whether the lease will be registered.
Here at Lawdit Solicitors we have a dedicated Commercial Property department in which our expert solicitors are at hand to assist with all property related work.