When a lease ends, the tenant must comply with their lease covenants. The landlord’s liability is limited to their loss. These two statements often lead to conflict. The tenant’s assessment of what is required is often less than required by the landlord. There is extensive case law surrounding dilapidations, and yet the majority of dilapidations claims do not go to solicitors, let alone to Court.
Having clear advice from a professional regularly dealing with dilapidations is key to understanding the requirements of the lease. Vickery Holman’s team of surveyors are not only able to provide advice on the defects and fabric repairs required, but also the impact on value. These different aspects of dilapidations are often undertaken by separate surveying practices. However, at Vickery Holman we have both building surveyors and valuers who are able to fulfil these different tasks seamlessly.
When entering into a lease, both landlords and tenants should obtain advice on their liabilities and the potential requirements for the repairs at the end of the lease. Time spent at this stage provides greater clarity of requirements at the end of the lease and can save money.
The dilapidation procedure is followed in accordance with the PLA Dilapidation Protocol; all of our surveyors are conversant with this. The Royal Institution of Chartered Surveyors (RICS) publishes a guidance note called Dilapidations in England and Wales (7th Edition, September 2016). This provides information on the dilapidations process. As members of RICS, we follow this guidance as best practice, in conjunction with the PLA protocol.
Vickery Holman has extensive experience dealing with dilapidations claims from small £20,000 claims to claims in excess of £750,000. While rare, the team have also provided representation at both mediation hearings and the County Court.
Party Wall etc. Act 1996
Building works to or near party walls can often involve the Party Wall etc. Act 1996. Vickery Holman have worked with building owners and neighbours to write party wall awards that set out what works will be done, and how and when works will happen, to protect the structure and adjoining owner’s interests.
Vickery Holman have a comprehensive depth and breadth of knowledge pertaining to the Party Wall Act, powered by director Dennis Venn having over 30 years’ experience in both the South West and London property markets. He is supported by other surveyors’ particular interests and specialist knowledge of the Act, providing you with comprehensive local knowledge.
Dennis Venn is the chairman of the National Committee of the Pyramus and Thisbe Club and chairman of the Devon & Corn-wall branch, which seeks to advance knowledge of party wall legislation and procedure and to promote best professional practice in its application.
Lease consultancy advice
In conjunction with our commercial and general practice colleagues, we provide detailed advice in respect of the implications of repairing covenants; advice on liabilities; and strategies for minimised future liabilities to tenants. For landlords, we can advise on the recovery of costs and enforcement of tenant covenants.
Licences for alterations
Vickery Holman can advise on licences for alterations from a landlord to a tenant, giving consent to carry out reasonably substantial works or alterations to a property, including any requirement for planning permission, building control applications and the Construction (Design and Management) Regulations 2015. We can also monitor or administrate the works for the landlord or tenant to control quality, timeliness and cost.
The Team for Dilapidations
Case studies for Dilapidations
Always viewed by tenants as the landlord profiteering, while landlords believe tenants leave the property in disrepair and a worse condition than at commencement of the lease.
European Springs were expanding and required larger premises. Following a management buy-out where the previous owners of the business were also the landlords the tenant had to return the building to it’s original condition to a date prior to the MBO.
Have you also considered?
We can let your property when your tenant vacates
We can provide Section 18 valuations for dilapidations purposes
We can advise on the implications of repairing liabilities