Schedule of condition.
A “schedule of condition” is conducted by the incoming tenant at the beginning of a lease and will include photographic evidence of any defects and the general state of the building, and a copy sent to the landlord. This will be invaluable against any claim from the landlord when leaving the building, especially if the building you are in has been sold and the new landlords are not in possession of the schedule, unfortunately this is quite often the case.
Section 18(1) Landlord and Tenant Act 1927.
Damages for a breach of a covenant or agreement to keep or put premises in repair during the currency of a lease, or to leave or put premises in repair at the termination of a lease. Should it be proven that at the end of your tenancy the premises are to be demolished or altered in any way that would mean the repairs become valueless, then there is no claim to answer.
Generally
As tenants its good practice to prepare for the dilapidation costs well in advance of the lease expiry. Tenants and landlords often sign a lease with little regard for the condition of the premises at the start of a tenancy, this often leads to an un-favourable exit plan for the tenant.
If you have made changes to the building you are in, for example installed a mezzanine floor, high bay racking, further offices, air conditioning etc, you may be required to have them all removed, and reinstate the building to how you took it. Any damage to the building will need to be repaired both internally and externally, a full redecoration to the offices is required including new carpets. This work must be done before the landlord will allow you to terminate the lease agreement.
In complex cases you would benefit greatly from using the services of a chartered building surveyor, specialising in dilapidations, as they will fight your corner and advise on the best exit strategy for you. They will be well versed with your legal obligations and indeed the landlords, and they will advise you every step of the way. If you have a schedule of condition when you originally took possession of the property, this will be invaluable.
If you don’t have a chartered building surveyor, we would be happy to recommend one, we have worked with many in the past and all are well versed in dilapidation claims. We have a fully qualified consultant Chartered Building Surveyor, that specialises in this field. It should be noted that some large surveying practices delegate the dilapidations claim as it maybe “small fry” in their eyes, compared to other business they are doing, to an associate or unqualified surveyor; this is good news as we can tie them in knots.
When choosing a building surveyor please ensure that he or she is experienced in tenant dilapidation claims and a member of the RICS (Royal Institution of Chartered Surveyors) Look for this logo
