Help with lease problems and building work issues

Izzy daw

Free Member
Feb 24, 2018
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So the back story: We recently took out a lease at a new premises to open a dental practice. In the process of getting the lease the landlords agent wanted all the building and structural surveys. Having looked at a few properties and not getting anywhere, we said we can provide rough plans but nothing in detail as we didn't want to pay 10k for interior designer and rest of it for a property that wasn't even ours yet. We gave idea of works that will be carried out and said will need to make it disabled friendly access.
We did a survey that found damp and other issues, which the landlord agreed to fix. As part of their works for damp they "sealed the floor" and provided a warranty.


Got lease signed after a very long winded process.

Now the problem. we gave the proposed works list which included widening the door for access to make it disabled friendly. We got a structural survey report and will need to put in a lintl which we are happy to do. The landlord agent wants us to pay 1k for her "professional fees" and then "probably more ontop if the list of works needs to be formally amended on the lease". Also for thr landlords surveyor to approve it (despite us having a surveyor report).

As the doors need widening this will also leave a hole in the floor which would void the warranty. And would have to use the agents builder to reseal the floors to give a new warranty. Our builder said the walls were only sealed on one side so no idea how the sealing is damp proof, so can't give a warranty as its a load of rubbish. The agents builder has quoted around 7k to reseal the floors. We have also recieved a "service charge advancement" (we been there 2 weeks) for 1k from the agent, back when we did the lease, our solicitor said the service charge is for costs to landlord for works and insurance etc for the building from after lease signed and they haven't done anything since. Aside from the above fees which are astronomical I have a feeling they are just going to keep coming. The shop next door was telling us how they keep coming after them ever few months for a few k fees.

We need to get the work done as its stopping us opening but can't without getting past these hurdles somehow. And feel once we pay its going to a non stop money pit. We thought about rehiring our solicitor that did our contract to mediate as he will know if they are ripping us off and the law better and can write more proper emails but this in itself will be a money pit as can't keep doing it forever. What would you recommend is the best way to handle this situation?
 
Got lease signed after a very long winded process.
All this should have been resolved by your solicitor before the lease was signed. If you have a Ltd company with no assets and you haven't given a PG I would walk away before digging yourself into a deeper hole or else really clarify matters with the landlord. To start mucking about with structural work without things being clear is not a great way to start.
 
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Other than walk away, I would suggest hireing a different solicitor. There is no way you should have signed a contract where the landlord can invent charges after charges endlessly. Any decent solicitor should have warned against this and put in limits and controls.

I suspect that because work has commenced you are in an impossible position, you would need to put everything back the way it was. Although as said above, if you have no Personal Guarantee and have no other company assets, then close it and run is an option.

You really need to have good legal advice, and have a solicitor take a look at the lease and see what liabilities you have signed up for. I would also get an independent report on the damp proofing done.


That said, if I was the landlord, I would want a structural report on works you are doing, and I would expect you to pay. I would be annoyed if I found out that the damp proofing was inadequeate after seeing an independent report.
 
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Agree with the above unfortunately you have gone about this completely the wrong way. No landlord I have worked for would have let you under take any works with out full detailed plans and structural reports if required. These would have been checked by their building surveyors before granting you written permission to proceed.

You are making substantial alterations to the fabric of their building why your solicitor let you sign the lease with all these outstanding issues is beyond me. I think you are going to be in for a very difficult time ahead and unfortunately you need proper legal advice and and probably the services of an architect before you dig yourself in any deeper.
 
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