Lease of part: office (complies with Lease Code 2020)

by Practical Law Property

A standard document for a lease of part of an office building in England and Wales. This standard document is drafted to comply, so far as practicable, with the RICS Professional standard: Code for Leasing Business Premises, England and Wales (1st edition, February 2020) (Lease Code 2020). It is for an internal-only demise of one or more office floors, with optional wording for a separate storage area. The tenant is responsible for repairing the demise and this standard document can be used as a full repairing and insuring (FRI) lease. Alternatively, the tenant's repair obligation can be qualified by a schedule of condition. The landlord insures the building and recovers costs for the repair and maintenance of retained parts through a service charge. This standard document features valuable optional provisions for a service charge cap reviewable against the Retail Prices Index (RPI), an upwards-only open market rent review with a potential cap and collar, a break clause and clauses to address uninsured risks. It also includes prescribed clauses and can be adapted as a headlease, underlease or renewal lease .