How it works
Occupiers regularly tell us their biggest frustrations when trying to secure new premises in the past, were how long it took to get the lease completed and that they often didn’t understand what they had signed until after. At Sterling Industrial, we endeavour to remove both of these issues from your process of moving into new premises.
So, you are looking to start, relocate or expand your business? You want to keep things simple?
Contact us and we will do our best to find your ideal premises. If suitable units are not available currently, our asset managers may be aware of premises coming available in the near future that may be of interest.
Once you have identified your ideal unit…
…in usual circumstances, Sterling Industrial will issue a standard lease template for your signature, the main elements of which are briefly explained below:
Rent: payable quarterly in advance.
Insurance: Sterling Industrial arrange building insurance and the cost is reimbursed by tenants once a year. Note that you will be responsible for contents insurance and other insurances associated with your business
Estate Service Charge: where units are situated on an industrial estate, we maintain and manage the common elements e.g. landscaping and lighting of shared areas. The annual budget for running shared areas is apportioned by unit size and charged quarterly in advance to each occupier on the estate as “estate service charge”. The landlord remains responsible for costs apportioned to vacant units
VAT: is chargeable on all demands
Repair: you will be responsible for repair and maintenance of the property from lease commencement.
Proof of Identity: Proof of identity and address will be required. Generally, a copy of passport or driving licence together with copies of two utility bills or bank statements indicating the signatory’s address should suffice
Security: We will usually seek to secure a rental bond equivalent to 3 – 6 month’s rent,
Alterations & reinstatement: Structural alterations to buildings are restricted but non-structural alterations will be permitted subject to us giving prior written consent, . You will need to reinstate the property when you leave.
Landlord and Tenant Act 1954: The Landlord & Tenant Act 1954 gives tenants rights to stay in business premises when their lease ends, except in certain situations for example when a tenant might have persistently failed to pay rent. The Act requires service of various formal notices and sets out legal procedures and notice periods that need to be followed strictly by both parties. Landlords and tenants can be required by the other to continue the lease after lease expiry should they get the notices or procedures wrong. So although our primary objective at Sterling Industrial is for businesses to stay and grow with us long into the future, we also wish to avoid the need for legal procedures and remove much of the delay and cost often experienced by both parties at lease expiry.
Accordingly, we exclude our leases from the security of tenure provisions of the Landlord & Tenant Act 1954 Act. This means you will give up your rights to renew the lease so we always recommend you should get professional advice to ensure you fully understand this requirement. However, you will still be able to vacate the property at lease expiry and should you wish to stay, we can discuss a new lease without having to go through the Act’s formal procedures.
When signing your tenancy document, you will also need to sign a statutory declaration in the presence of a solicitor, stating you have read and understood our notice relating to the exclusion process. Solicitors usually charge £10.00 for this service.
Before you are asked to sign your lease, one of our dedicated asset managers will work with you to ensure you have fully understood each of the proposed lease obligations. Occasionally, you may have come into contact with us through one of our regional letting agents so if you have any concerns, please feel free to contact us directly and we should be able to answer all of your questions.
Once you have returned the documentation to us and any initial sums have been paid, we will complete the lease and you can have the keys to your new premises. You will need to sort out utility supplies and telecoms but after that, all you have to worry about is running your business.
Of course, your asset manager at Sterling Industrial will be available to help with any property queries you might have at any time.