Commercial Property Law Update 2022

KEY SUBJECTS

• LEASE VARIATIONS – THE LAW OF UNINTENDED CONSEQUENCES
• CASE LAW UPDATE – IMPLICATIONS FOR PRACTICE
• SERVICE CHARGES: TOPICAL ISSUES
• ESG, MEES & OTHER KNOTTY LEASE PROBLEMS
• RECOVERING COMMERCIAL RENT ARREARS
• INSOLVENCY IN THE PROPERTY SECTOR- A RIGHT ROYAL BATTLEGROUND!

SPEAKERS

Mark Shelton, Commercial Property Management Law Trainer

Bryan Johnston, Partner and Head of Real Estate Litigation at Dentons

Sarah Thompson-Copsey, Non-Practising Solicitor, Legal Lecturer and Trainer

Megan Davies, Associate, Real Estate Disputes, Charles Russell Speechlys LLP

Stephen Allinson, Solicitor and Licensed Insolvency Practitioner, Non Executive Former Chairman of the Board of The Insolvency Service

CONFERENCE PROGRAMME

09.30am CHAIRMAN’S INTRODUCTION

LEASE VARIATIONS – THE LAW OF UNINTENDED CONSEQUENCES

The demand for increased flexibility in lease terms means tenants are looking to change use, carry out alterations and share occupation, as well as looking to negotiate pandemic clauses, recast rental arrangements, vary term lengths and rethink the extent of their demise.  Both the lawyer documenting any lease variations and the agent negotiating heads of terms need to be aware of the potential for serious problems to be created, such as conferring security of tenure, adverse impact on rent review, and additional SDLT liability, and be able to structure deals so as to avoid them.

• Not all lease variations are easily identified as such
• Guarantors and former tenants may be released from obligations
• Clarity is needed as to the position of successors in title
• Revised rental arrangements will have an impact on other lease terms
• Incorporating lease terms by reference in supplemental leases requires a sharp eye for detail

Mark Shelton, Commercial Property Management Law Trainer

CASE LAW UPDATE – IMPLICATIONS FOR PRACTICE

Commercial Property law is always evolving. This talk will bring you up to date with the seminal commercial property cases that have been recently decided. It will cover the details of the what the Court has decided and more importantly, what this means for you in practice. It will include the following:

• Rent – impact of CV19 on arrears and RPI rent clause interpretation
• Landlord and Tenant Act 1954 – impact of CV19 on renewals
• Nuisance
• Repairing Obligations
• Consent to alter
• Vacant Possession
• Restrictive Covenants
• Electronic Communications
• Business Rates

Bryan Johnston, Partner and Head of Real Estate Litigation at Dentons

SERVICE CHARGES: TOPICAL ISSUES

A source of almost inevitable tension between landlord and tenant, service charge disputes have proliferated before the courts in recent months. This timely session pulls together lessons from recent cases and will look at issues particularly pertinent to both landlords and tenants today:

• Who decides a “fair proportion” of service costs?
• “Final and binding” certification – a boon for landlords
• Can the landlord recover the costs of remedying inherent defects?
• Gaps in the service charge clause and the quiet enjoyment covenant

Sarah Thompson-Copsey, Non-Practising Solicitor, Legal Lecturer and Trainer

ESG, MEES & OTHER KNOTTY LEASE PROBLEMS

This practical session will look at some of the common, but tricky, questions that arise in commercial leases – and the answers – including:

• Must the tenant leave the property MEES compliant at the end of the lease?
• What do the courts think about energy efficiency obligations on lease renewal?
• What is vacant possession, when does it matter and when doesn’t it?
• “Correcting” rent review clauses – what do you need to show?
• Lease starts on/from – is there a difference?
• Will a tenant’s break clause be inserted on lease renewal?
• Not all tenants are equal – when a tenant cannot exercise a break right
• Why rent can sometimes be demanded after the lease ends

Sarah Thompson-Copsey, Non-Practising Solicitor, Legal Lecturer and Trainer

RECOVERING COMMERCIAL RENT ARREARS

After two years of unprecedented change to the relationship between landlords and tenants of commercial property, this session will cover the latest position with landlords’ remedies and look ahead to the future and the lessons learned from the pandemic. Topics covered will include:

• The end of the forfeiture moratorium and reminders of the basics
• Where are we at with CRAR?
• Key points to remember when pursuing third parties, e.g. guarantors and subtenants
• What the pandemic taught us about winding-up petitions and court claims for arrears
• How is Parliament’s ring-fencing of covid arrears working?

Megan Davies, Associate, Real Estate Disputes, Charles Russell Speechlys LLP

INSOLVENCY IN THE PROPERTY SECTOR- A RIGHT ROYAL BATTLEGROUND!

For the last two years those working in the property world have faced countless professional challenges and financial matters have often been at the centre of those issues. Commercial landlords and tenants have often seemed to adopt polarising positions and the Government has brought in a number of statutory controls to keep the retail sector, in particular, alive.

This session will explore these and other insolvency matters from the point of view of the property professional and look at some key themes that have emerged.

Areas to be covered will include:

• The state of the economy: are we seeing green shoots of recovery or not?
• The rise of the retail CVA- a proper rescue remedy or a debtor’s charter?
• Pre-packaged administrations: 2021 toughened up the rules, but do they protect creditors enough?
• Corporate restructurings- new procedures exist, but can the landlord be ignored in them?
• Enforcing property debts by insolvency proceedings – can you press the button?
• Tips and tactics to best advise your clients in this crucial area

Stephen Allinson, Solicitor and Licensed Insolvency Practitioner, Non Executive Former Chairman of the Board of The Insolvency Service

5.00pm CLOSE OF PROCEEDINGS