If you are considering taking on an existing lease, then this will require the transfer (‘assignment’) of the lease from the current tenants.
Â However, before the assignment of the lease can take place, you will need to bear the following in mind:
- Check if there is a provision for allowing the lease to be assigned
- You will usually be required to pay the landlord’s solicitors’ costs as well as your own solicitor’s costs
- Check if the rent is paid up to date. If not, then the landlord will require that rent is paid up to date before consent is given to the assignment. Will you be willing to contribute towards any outstanding rent to ensure the lease is assigned to you?
- Ensure that you have references ready from your bank, accountant and if you are already trading, then a trading reference. These will be needed to satisfy the landlord that you are likely to be a good tenant who will stay for the remainder of the lease term and pay the rent on time.
- You will usually be required to nominate a guarantor in case you default on the lease. Do you have asuitable candidate to become your Guarantor?
- Will you be required to pay a premium to the outgoing tenant?
- Finally, and most importantly, make sure you instruct a good solicitor!