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Thomas
Thomas, Lawyer
Category: UK Property Law
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Experience:  BA (Hons), PgDip, Practising Solicitor
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Does the following lease give me a) security of tenure (3.3)

Customer Question

Does the following lease give me a) security of tenure (3.3) and
b) continue to the benefit of any future purchaser of the main lease?

Regards XXXXX XXXXXXXX@XXXXXX.XXX

Licence follows:

This Licence made the 14 day of January 2013
BETWEEN
(1) LONDON & QUADRANT HOUSING TRUST LIMITED of One Kings Hall Mews , London, SE13 5JQ (“the Landlord”)
(2) Idris Nagaty Of XXXXX Forest Hill, SE23 3RL
(“the tenant”)

Definitions
The following definitions have the following meanings:-

“Property” means the land referred to in the entries for the leasehold title number TGL261805 described as the flat atXXXXX Forest Hill, SE23 3RL

“Tenant” refers to the Tenant stated above in point 2 including any successors in title of the Tenant and all obligations of joint Tenants shall be joint and several.

“Garden” means the section of garden for the use of the Tenant at the Property as shown on the attached plan marked Garden A.


WITNESSETH as follows:-

1.1 This Deed:-
1.1.1 is supplemental to the lease short particulars of which are specified in the First
Schedule hereto (“the lease”)
2.1 The Landlord grants to the Tenant licence to use the Garden subject to the terms
of this deed’
2.2 The Tenant has the right to use the Garden as their own private garden for recreational purposes only on peppercorn ground rent
2.3 The Tenant has a right to erect a small garden shed in the Garden for the storage
of garden items and so forth

3. It is hereby agreed and declared that:-
3.1 The tenant must seek the Landlord’s prior written consent for the erection of any
summer house, conservatory or any other outbuilding with the exception of a shed, with such consent not to be unreasonably withheld.
3.2 The Tenant must keep the Garden in good order and condition
3.3 The landlord will not revoke this Licence without just cause and without first discussing any issues with the Tenant

4. The Landlord and the Tenant agree that all the covenants and right stated in the lease will remain in affect in addition to this licence.
5. The Landlord and the Tenant hereby agree that the terms of this Licence have immediate effect from the date hereof

IN WITNESS whereof this Deed has been duly executed the day and year first before written



THE FIRST SCHEDULE

(Particulars of the Lease)


Date Document Parties

27-06-2005 Lease (1) The Mayor and
Burgesses of the
London Borough of
Lewisham

(2)Ganiyu Asaju

Signed as a deed by an authorised
Signatory of LONDON & QUADRANT
HOUSING TRUST LIMITED
Sign here




Print name




Signed as a deed by IDRIS NAGATY
Sign here








Witness sign: ...........................................
Witness name: ...........................................
Witness Address: ...........................................
...........................................
...........................................
Submitted: 1 year ago.
Category: UK Property Law
Expert:  Thomas replied 1 year ago.
Hi

Thanks for your patience.

I’m afraid that in answer as to whether the agreement has security of tenure under the Landlord and Tenant Act 1954 I cannot see that it does.. This is because it is a licence, which is different to a lease or business tenancy. Only business tenancies (ie. leases) are capable of having security of tenure under the Landlord and Tenant Act

It would appear to be a bare licence which means that the landlord can revoke it at any time, though it would have to be discussed first in accordance with 3.3.

Given that the definition of the “Tenant” includes the successors in title then this would continue to the benefit of any future assignee (ie. purchaser) of the lease, so that’s something.

Basically, as long as the landlord does not terminate then it’s fine but there is no statutory right for the tenant to require the licence to stay in place.

Please remember to RATE my answer OK SERVICE, GOOD SERVICE OR EXCELLENT SERVICE or above if you are satisfied that you have received the correct legal advice (even if it is not the answer you wanted to hear), otherwise I do not receive any credit for answering your question.

If you are not willing to rate my answer as OK SERVICE, GOOD SERVICE OR EXCELLENT SERVICE then allow me to assist further by replying asking what clarification you require rather than rating my answer at levels below.

If you wish for me to provide you with further guidance on any question you may have in the future then please submit a further question to the board requesting me either by my profile or by marking your question. “FAO Tom”.

Kind regards,


Tom
Customer: replied 1 year ago.


FAO Tom only


Thanks Tom. I appreciate that a Licence has less security than a Lease. We plan to build a conservatory (and before a change of freeholder had plans virtually approved) and given the expenditure (£20K+/-) and the "positive" wording of 3.3 (The landlord will not revoke this Licence without just cause ......) my view is that this particular wording (will not without just cause) would create a high hurdle of offence/breach before they could revoke. Or am I wrong?


Regards


Idris

Expert:  Thomas replied 1 year ago.
Hi Idris,

I think it would be a very bad idea to build a conservatory on the land which is only subject to the licence. It does not create a high hurdle at all and you could end up losing the money you spend on the conservatory. It coudl also result it litigation.

Please remember to rate my answer.

Tom
Thomas, Lawyer
Category: UK Property Law
Satisfied Customers: 6656
Experience: BA (Hons), PgDip, Practising Solicitor
Thomas and other UK Property Law Specialists are ready to help you
Customer: replied 1 year ago.

FAO Tom only


 


Tom, I forgot to point out that any Conservatory requires the Freeholders approval. Given approval to build, and bearing in mind the order of wording in 3.3 (will not without just cause.....) are we to any extent protected from an arbitrary decision to terminate the licence?


Regards


 


Idris

Expert:  Thomas replied 1 year ago.
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