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In those circumstances the landlord would be under a duty to mitigate their loss by re-letting the property, so the rent he would be awarded would be in region of the amount of rent he would have received from the period the default occurred until it could and should have been re-let. This would obviously depend on the market demand for premises of the type and size in the area.
This would be in addition to any other sums property payable and owed under the lease.
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Property is a tropical fish shop enclosed within a garden centre who are landlords
rent is sixmonths in arrears and lease has 18 months to run
lessee is limited company which is being liquidated
i suspect garden centre will either keep the fish section ( as they have enquired about stock value and have requested turnover information )or utilise the space for another activity
they have "offered" to waive surety on future rent ( which would not apply anyway if they take over) but they want past rent paid in full
can we play hardball and refuse to surrender the lease unless they make a concessionary gesture?
can they refuse to relet and therby
No. If the rent is in arrears then there should be a forfeiture clause in the lease entitling them to terminate the lease as a result of the breaches of the leasehold covenants.
There is very little leverage you have available unfortunately, you have breached by not paying rent. They could take possession now, sue you for the previous rent and for future rents. It sounds as if they are being very reasonable in the circumstances actually.
If the company is being liquidated then you must refer their offers/requests to the liquidator.
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