#14743 - Alterations Clauses - Property Law and Practice

Alterations Clauses

Types of Alteration

There are three main types of alterations: the first is structural wall alterations, the second is non-structural wall alterations and thirdly internal demountable partitioning. There will be different types of covenants against each of these types of alterations.

Always consider the Lease, then the Law and finally the Landlord’s Title.

Absolute Covenants

Exam Structure

Lease clause [X] contains a covenant not to… This is an absolute covenant. This means the Landlord does not have to consider granting consent to these alterations and there is no requirement to act reasonably.

s.19(2) LTA does not have any effect on absolute covenants. The Tenant could request a one-off consent but there is no obligation on the Landlord to give it (whether it is reasonable or not). The Landlord is also entitled to impose any conditions on the consent (such as premiums or cost recovery).

If the Landlord does grant consent then the Landlord’s freehold title should be checked for any restrictions preventing these works. On the official title number [X] there are/are not restrictions…

Planning permission is unlikely to be required as it is internal works, and planning permission is granted automatically under the GDPO 2015. However, building regulations are likely to be required for health and safety issues surrounding structural walls. Lease clause [Z] requires the Tenant to get the Landlord’s consent or permission in order to apply for…

Qualified Covenants

Exam Structure

Lease clause [Y] contains covenants not to… unless the Landlord’s consent has been obtained. Clause [Y] also states that the Landlord’s fees must be paid by the Tenant. This is a qualified covenant.

s.19(2) LTA upgrades qualified covenants into fully qualified covenants in relation to ‘improvements’. This means the Landlord has to act reasonably in deciding whether to grant consent. Therefore, the Landlord cannot unreasonably withhold their consent.

Improvements are seen through the eyes of the Tenant and it is therefore assumed that all alterations are improvements (Lambert v Woolworth).

s.19(2) LTA also allows the Landlord to charge for any reasonably incurred expenses in relation to the consent and any damage or diminution in relation to the property.

If the Landlord does grant consent then the Landlord’s freehold title should be checked for any restrictions preventing these works. On the official title number [X] there are/are not restrictions…

Planning permission is unlikely to be required as it is internal works, and planning permission is granted automatically under the GDPO 2015. However, building regulations are likely to be required for health and safety issues surrounding structural walls. Lease clause [Z] requires the Tenant to get the Landlord’s consent or permission in order to apply for…

No Covenants

Exam Structure

There are no restrictions on… No consent is required for these alterations. The Tenant should still notify the Landlord when they have completed the works.

As no consent is required, s.19(2) LTA has no impact on this clause.

If the Landlord does grant consent then the Landlord’s freehold title should be checked for any restrictions preventing these works. On the official title number [X] there are/are not restrictions…

Planning permission is unlikely to be required as it is internal works, and planning permission is granted automatically under the GDPO 2015. However, building regulations...