Business Lease Renewal

Business Lease Renewal

A tenant of a business lease has a statutory right to a lease renewal at the end of the contractual term, if it satisfies certain statutory criteria set out in the Landlord and Tenant Act 1954 (LTA 1954).

The terms of the new lease are to be agreed between the landlord and tenant. If no agreement can be reached, the terms will be determined by a court.

A landlord is entitled to exclude the provisions of the LTA 1954 by following a statutory procedure before the tenant becomes committed to take a lease. This is usually called “contracting out”.

A landlord can oppose the tenant’s statutory right to a lease renewal on any of the grounds set out in the LTA 1954. The landlord can only rely on a ground of opposition specified at the outset of the process (for example possession is required for redevelopment).  Provided all the criteria set by the LTA 1954 can be met by the tenant, the landlord cannot oppose a lease renewal if no ground of opposition is specified and cannot try to oppose on a different ground.

We have experience acting for both landlords and tenants in connection with the business lease renewal process.  Many renewals are unopposed in principle and it is just a case of agreeing the precise terms including ensuring the terms of occupation are up to date.  We also have experience of cases where a renewal is opposed.

We work closely with the commercial surveyors who are normally involved to ensure any negotiations which take place do so on an informed basis.

Whether you are a landlord or tenant, getting clear legal advice at the outset of the process will mean you have a clear strategy which will assist in achieving the best commercial outcome as soon as possible.  Rarely are Court proceedings necessary but if they are then we will be ready to take the right steps.

If you have a query or would like to book an appointment please get in touch with our First Contact team on 01256 320555 or email


  • paul-cowdery

    Paul Cowdery

    Litigation & Employment Director

  • simon-horwood

    Simon Horwood

    Litigation Executive

  • Patricia Kinchington

    Legal Secretary

  • Laura Pink

    Legal Secretary