It is not uncommon for pharmacies to be located within mixed use buildings where the "other" use is residential. The pharmacist is often the landlord of the residential occupiers.
Part One of this article focuses on some key issues for landlords of residential leases.
Nature of Tenancy
The landlords and tenants rights and obligations can differ according to tenancy type.
Most tenancies are assured shorthold tenancies. It is vital to carefully review proposed or current tenancies, taking professional advice where necessary, to identify the tenancy type. It is easy to get caught out.
This article assumes an assured shorthold tenancy is in place.
Deposits
Usually the tenant supplies a deposit to provide security against breaches of the tenant's obligations.
Such deposits must be protected by one of the tenancy deposit schemes registered with the Government within 30 days of the deposit being received. Also, certain prescribed information must be provided to the tenant.
Failure by the pharmacist landlord to comply can severely hamper its ability to regain possession as well as incur financial penalties.
Repairing Obligations
The landlord owes statutory repairing obligations to the tenant. One of the main obligations is set out in the Landlord and Tenant Act 1985.
Unless there is a cross over between the obligations set out at section 11 and some limited exclusions then, once notified of the defect that needs repair, the landlord must address it. Failure to comply with this obligation can result in a claim for damages and/or specific performance of the landlord's obligations.
It is therefore essential to make sure you comply with the obligations and that you are aware of all of your obligations by seeking full professional advice at the outset of any tenancy and on the happening of any key event.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
