Although business tenants generally have the right to renew the tenancy of their premises when it comes to an end, landlords can refuse to grant a new tenancy in some cases.
When can a landlord refuse to renew a tenancy?
The landlord can refuse to renew:
- If the tenant does not have the right to renew the busines lease, see tenant's right to renew a business lease.
- If the tenant is in breach of their obligations. See business leases: paying rent and rent reviews.
- If the landlord is offering to provide other suitable accommodation for the tenant.
- Where a sub-tenant occupying part of the business premises applies for a new lease, but the landlord wants to let or sell the premises as a whole.
- Where the landlord wishes to demolish or reconstruct the business premises. However, the tenant could remain in occupation if they allow the landlord access to carry out reconstruction work or accept a new tenancy for part of the premises.
- Where the landlord wishes to use the premises themselves, for their business, or to live there.
You may want to consult a legal professional on the issue of business leases. Choose and work with a solicitor.