Unpaid rent
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Description
Experience Level: Entry
I have a little issue with a property.
Initially, there was an issue with the neighbour who was claiming a small shed that was part of my deed. He put a charge and when I bought the property, I had to deal with it. I paid him and the dispute was settled.
However, when I signed the lease with the new tenant, I was not aware of this charge (property bought at auction!).
The shop was rented in June 2017.
There was a rent review in June 23 as per the lease. It was done by a chartered surveyor and a notice was sent to them in Sept 23. The rent was increased as per the lease.
The tenant was going to sign the final memorandum last week (after a lot of calls and negociations), thus accepting the increase but has not done so.
He sent me an email trying to find and excuse not to pay the new rent and mentioning the old story about no accessing the little shed.
We need to write a letter saying that:
1. The issue of the land at the rear of the premises is something that was raised by the tenants at the start of their lease and had this been a major setback to their business then they would have asked to surrender their lease at that time as their business was incapable of functioning without it.
Additionally, there is a 5 year break clause in the lease. However, they have not taken this opportunity to leave in June 22.
2. Had the issue of the plot of land been so significant then why was this not raised through their solicitors at the time or closer to the start of the lease as opposed to over 7 years after the event?
3. The above issue has only resurfaced due to the RPI Rent Review due 14th June 2023.
4. In light of the tenants attempts to deliberately delay paying the new rent any stepped rent that you have proposed (ie payment plan) should be retracted immediately and they must now pay the actual RPI calculated Rent Review of £27,626 per annum exclusive.
5. I need to confirm that the legal fees will be paid by the tenant.
6. There was an outstanding as at 29.02.24 amount of £7,437.46 that includes interests. FYI, I have not done a prorata for the interests.
I would like them to pay the rent or leave?
I have already written the letter. I'd like it to be reviewed, lease checked and make sure everything is in order.
Dear [Tenant’s Name],
Re: Rental Payment Dispute and Lease Agreement Terms
I am writing to address the recent correspondence regarding the rental payment and the issues raised concerning the plot of land at the rear of the premises. It is imperative that we resolve this matter swiftly and in accordance with the terms outlined in the lease agreement signed between us on [date of lease agreement].
First and foremost, I would like to address the concerns raised regarding the plot of land at the rear of the premises. As you are aware, this issue was raised by you at the inception of your lease term. However, it is important to note that this matter was thoroughly examined and resolved. Furthermore, had this issue been of significant detriment to your business operations, it would have been expected that you would have requested to surrender your lease at that time. It is noteworthy that there is a five-year break clause in the lease agreement, which you have opted not to exercise despite the alleged concerns regarding the plot of land.
Moreover, it is perplexing that the issue concerning the plot of land has only resurfaced following the RPI Rent Review conducted in accordance with the terms of the lease agreement. This indicates a deliberate attempt to delay the payment of the revised rent amount. As such, any proposed stepped rent payment plan is hereby retracted, and you are required to pay the actual RPI calculated Rent Review amount of £27,626 per annum exclusive, effective immediately.
Furthermore, it is essential to address the outstanding balance of £7,437.46 as of 29.02.24, inclusive of interest.
In light of the above, I request that you promptly remit the outstanding rent amount and adhere to the revised rent terms outlined herein. Failure to do so may result in further legal action to enforce the terms of the lease agreement.
Please confirm receipt of this letter and your intentions regarding the outstanding rent payment and adherence to the revised rent terms by [deadline for response].
Thank you for your attention to this matter.
Yours sincerely,
Rgds
Initially, there was an issue with the neighbour who was claiming a small shed that was part of my deed. He put a charge and when I bought the property, I had to deal with it. I paid him and the dispute was settled.
However, when I signed the lease with the new tenant, I was not aware of this charge (property bought at auction!).
The shop was rented in June 2017.
There was a rent review in June 23 as per the lease. It was done by a chartered surveyor and a notice was sent to them in Sept 23. The rent was increased as per the lease.
The tenant was going to sign the final memorandum last week (after a lot of calls and negociations), thus accepting the increase but has not done so.
He sent me an email trying to find and excuse not to pay the new rent and mentioning the old story about no accessing the little shed.
We need to write a letter saying that:
1. The issue of the land at the rear of the premises is something that was raised by the tenants at the start of their lease and had this been a major setback to their business then they would have asked to surrender their lease at that time as their business was incapable of functioning without it.
Additionally, there is a 5 year break clause in the lease. However, they have not taken this opportunity to leave in June 22.
2. Had the issue of the plot of land been so significant then why was this not raised through their solicitors at the time or closer to the start of the lease as opposed to over 7 years after the event?
3. The above issue has only resurfaced due to the RPI Rent Review due 14th June 2023.
4. In light of the tenants attempts to deliberately delay paying the new rent any stepped rent that you have proposed (ie payment plan) should be retracted immediately and they must now pay the actual RPI calculated Rent Review of £27,626 per annum exclusive.
5. I need to confirm that the legal fees will be paid by the tenant.
6. There was an outstanding as at 29.02.24 amount of £7,437.46 that includes interests. FYI, I have not done a prorata for the interests.
I would like them to pay the rent or leave?
I have already written the letter. I'd like it to be reviewed, lease checked and make sure everything is in order.
Dear [Tenant’s Name],
Re: Rental Payment Dispute and Lease Agreement Terms
I am writing to address the recent correspondence regarding the rental payment and the issues raised concerning the plot of land at the rear of the premises. It is imperative that we resolve this matter swiftly and in accordance with the terms outlined in the lease agreement signed between us on [date of lease agreement].
First and foremost, I would like to address the concerns raised regarding the plot of land at the rear of the premises. As you are aware, this issue was raised by you at the inception of your lease term. However, it is important to note that this matter was thoroughly examined and resolved. Furthermore, had this issue been of significant detriment to your business operations, it would have been expected that you would have requested to surrender your lease at that time. It is noteworthy that there is a five-year break clause in the lease agreement, which you have opted not to exercise despite the alleged concerns regarding the plot of land.
Moreover, it is perplexing that the issue concerning the plot of land has only resurfaced following the RPI Rent Review conducted in accordance with the terms of the lease agreement. This indicates a deliberate attempt to delay the payment of the revised rent amount. As such, any proposed stepped rent payment plan is hereby retracted, and you are required to pay the actual RPI calculated Rent Review amount of £27,626 per annum exclusive, effective immediately.
Furthermore, it is essential to address the outstanding balance of £7,437.46 as of 29.02.24, inclusive of interest.
In light of the above, I request that you promptly remit the outstanding rent amount and adhere to the revised rent terms outlined herein. Failure to do so may result in further legal action to enforce the terms of the lease agreement.
Please confirm receipt of this letter and your intentions regarding the outstanding rent payment and adherence to the revised rent terms by [deadline for response].
Thank you for your attention to this matter.
Yours sincerely,
Rgds
Shab D.
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