There is no such thing as a “standard” commercial lease in Scotland. Every lease needs careful negotiation to reflect the type of property, the nature of the business, and the priorities of both landlord and tenant. From repairing obligations and insurance to rent reviews and dilapidations, the terms can vary significantly. At Pomphreys Solicitors, we advise both landlords and tenants, ensuring that your interests are protected and that the lease works for you, not against you.
No Such Thing as a Standard Lease
Although many commercial leases contain familiar clauses, there is no such thing as a truly standard document. Each lease needs to be considered on its own terms and adapted to suit the property, the business use, and the parties involved. For example, a shop in a retail centre raises different issues from a pub, an office, or an industrial unit.
Acting for Landlords
Landlords will usually wish to protect their investment and maintain the condition of their property. For that reason, many Scottish landlords prefer a Full Repairing and Insuring (FRI) Lease, which places responsibility for repairs and insurance premiums squarely on the tenant.
Typical landlord priorities include:
- Ensuring the property is returned in at least the same condition as at the start of the lease
- Restricting alterations or requiring reinstatement at the end of the lease
- Including rent review clauses
- Controlling the permitted use of the property
When acting for landlords, our role is to ensure these priorities are clearly reflected, while still creating a lease that stands up to scrutiny.
Acting for Tenants
From the tenant’s perspective, the aim is often to limit obligations and avoid unexpected costs. While a landlord may insist their lease is “standard”, every clause is open to negotiation. Key tenant concerns often include:
- Defining the required condition of the property to avoid being responsible for improvements
- Negotiating on reinstatement obligations after alterations
- Clarifying responsibility for repairs and common areas
- Ensuring notice provisions and rent reviews are fair
A good solicitor will challenge vague or unfair provisions, ensuring tenants are not exposed to excessive liability.
Beyond the Lease Agreement
Negotiation does not end once the lease is signed. Issues often arise later, such as:
- Rent reviews
- Requests for landlord’s consent
- Disputes over irritancy (termination of the lease)
- Dilapidations at the end of the lease
Having legal support throughout the lifespan of the lease can save significant time, stress, and expense.
Why Choose Pomphreys?
At Pomphreys Solicitors, we have extensive experience acting for both landlords and tenants in commercial leasing. Because we represent both sides in different transactions, we know the common arguments and how to use them to our clients’ advantage. We never act for both parties in the same transaction, so our advice is always independent and focused on protecting your interests.
Speak to Us Today
Whether you are a landlord looking to safeguard your property investment or a tenant negotiating fair lease terms, Pomphreys can help. Our solicitors will guide you through the process, highlight potential risks, and secure the best possible outcome for your business.
📞 Call us on 01698 373365
💻 Or visit our website to get started
This article is by Robert Allan
Robert Allan, Partner
Robert Allan graduated from the University of Strathclyde in 1980. Robert deals with all Residential and Commercial Conveyancing, specialising in leases for shops and office premises.
Tel: 01698 373365
Email: rha@pomphreyslaw.com
