assignment of lease

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Assignment of Lease

The transfer of a lease by the lessee to another party. For example, if one rents an apartment, one might sell or give one's friend the right to live there (and the obligation to make payments). The assignor (the original lessee) remains bound by the lease contract if the assignee fails to make his/her obligations, unless the lessor states otherwise. Because of the potential complications, some lessors do not allow lessees to engage in assignment of lease.

assignment of lease

Transferring all rights in a lease to real property to another.Leases typically contain prohibitions against assignment without landlord approval, but the approval may not be unreasonably withheld. Reasonable grounds may include a change in the creditworthiness of the tenant,an increase in the burden placed upon the property by the new tenant because of additional parking demands,or incompatibility with other tenants such as a liquor store coming into a small shopping center of family-oriented businesses.When a tenant assigns its lease, it remains liable for the entire lease term unless the landlord agrees to a novation, which is a declaration that the old lease is void and the landlord has entered into a direct relationship with the assignee.

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He knew that she had spent the previous summer at Newport, where she appeared to have gone a great deal into society, but that in the autumn she had suddenly sub-let the "perfect house" which Beaufort had been at such pains to find for her, and decided to establish herself in Washington.
There could well be a rash of short-term sub-lets this year, not just due to the current economic climate, but because property owners are still being stung by the need to pay business rates on empty properties.
She claims more than any other AM in Wales for her constituency office, which she sub-lets from the Lib Dems.
If the original tenant sub-lets the premises without such written consent, the original landlord could elect to terminate the lease contract (even prior to its expiry date, and notwithstanding any statutory minimum stay period afforded to the tenant).
However, some landlords will be sympathetic to your position and may adopt a policy of granting consent for short-term sub-lets to help you meet expenses on the property while trying to sell it.
ENTERTAINER David Evans paid pounds 110,000 for a holiday lodge at Hazelwood Park, Dawlish Warren, Devon, and sub-lets it for around 26 weeks every year.
Tesco, which sub-lets to TK-Maxx, has 13 years left on its 25-year lease and pays annual rent of pounds 1.
He famously claimed the problems had been "a muddle not a fiddle" and that all the money from sub-lets had been ploughed back into running his office for the good of his constituents.
Editorial includes articles on: late-fee formulas for tenants; tenant's right to audit books and records; partial payments; rules and regulations regarding sub-lets and assigns; consent for using alternative telecommunications providers; reducing the impact of tenant bankruptcies; tenant compliance with energy efficiency requirements; termination of lease options; gross-up clauses; improving operating expenses; and, insurance.
But the row continued and McLeish eventually admitted receiving pounds 36,122 in rent from five sub-lets dating back to 1987.
Henry McLeish's office in Glenrothes was paid for by the House of Commons, but extra money was made from sub-lets.
McLeish has remained silent since he quit Scotland's top political post last November in a row over pounds 36,000 in expenses for sub-lets at his constituency office in Glenrothes.