Guide · Leases · UK
The clauses that cause regret are rarely the headline rent. They are the repair, service charge and exit terms buried in the wording. Here is what to check before you sign.
A commercial kitchen lease is the single largest and longest commitment most operators sign, and the clauses that cause regret are rarely the headline rent. They are the repair obligations, the service charge and the exit terms buried in wording that looks like standard admin. This is general guidance, not legal advice, and any lease should be reviewed by a solicitor before you sign.
Unlike a home tenancy, a commercial lease carries almost no automatic statutory protection over repairs. There is no equivalent of the residential landlord's implied duty to keep the structure in repair. Whatever the document says is what binds you, and where it is silent, liability often defaults to the tenant. That single fact reframes lease negotiation: you are not accepting a fixed set of terms, you are deciding how much cost and risk you take on before a single service is cooked.
The clause that costs most
Most commercial leases are offered on a full repairing and insuring basis. Under an FRI lease the tenant carries the cost of repairs, often including the structure and exterior if you take the whole building, and reimburses the building insurance premium. A common and expensive misconception is that you only have to hand the property back as you found it. A covenant to keep premises in "good repair and condition" can require you to put them into good repair even if they were already in disrepair when you took them on, and the word condition can pull in work beyond simple disrepair.
Variations matter. An internal repairing lease limits you to the inside while the landlord keeps the structure. FRI by way of service charge means you pay into a pot for shared repairs rather than doing them directly, which can be less onerous but exposes you to charges you do not control unless the lease caps them. Knowing which one you are being offered, and negotiating toward the lighter version where you can, is one of the highest-value conversations in the whole process.
The protection tenants skip
If the premises are anything other than pristine, the most effective protection is a schedule of condition: a dated photographic and written record of the property's state at the start, annexed to the lease and referenced in the repair clause. Done properly, it caps your repair obligation so you cannot be held liable at lease end for defects that existed before you arrived. Without one, a landlord's surveyor can attribute historic wear to you, and the burden of proving otherwise falls on your memory rather than the record. Whether you can secure one often depends on your bargaining position, so it is worth raising at heads of terms rather than after the lease is drafted. For kitchen premises specifically, check whether the lease obliges you to maintain the extraction system to a recognised standard, because responsibility for extraction cleaning in a leased kitchen is frequently written into these documents.
Terms that decide your future
The clauses that protect you are the ones about leaving. A break clause gives a defined exit if circumstances change, but breaks are often conditional on strict compliance, so a technical breach can invalidate one. Rent review mechanics, service charge caps and reinstatement obligations all shape what the lease really costs over its life, not just at signing. The tenants who avoid regret are the ones who read the exit before they celebrate the entrance, and who commission an independent survey rather than trusting a description that says the property is in good condition when it may not be. Keeping maintenance records through the term, especially for services like extraction and refrigeration, is what makes both the tenancy and its eventual end far easier to defend. A lease is lived in for years, and the small habit of documentation started on day one is what protects you on the day you hand back the keys.
Questions
A full repairing and insuring lease, the most common commercial structure. The tenant carries the cost of repairs and reinstatement, often including structure and exterior if you take the whole building, and reimburses the building insurance premium. The exact scope depends entirely on the wording.
Usually not. Unlike residential tenancies, most commercial leases carry no statutory repair duty on the landlord. The lease wording governs, and where it is silent, liability commonly defaults to the tenant, which is why careful review before signing matters.
It is a dated photographic and written record of the property's state at the start of the lease, annexed to the document. Referenced properly in the repair clause, it caps your repair liability so you are not held responsible at lease end for pre-existing defects.
A break clause gives a defined exit if your circumstances change, which is valuable in a long commitment. Be aware that breaks are often conditional on strict compliance, so even a minor breach can invalidate one. Have the conditions reviewed carefully.
Often, yes. Many kitchen leases include an explicit obligation to maintain the extraction system to a recognised standard. Failing to do so can breach the lease and add to a dilapidations claim, so check this clause and keep documented cleaning records.
Phoenix Duct Clean · by the numbers
If your lease requires the extraction system maintained to standard, we can keep you compliant and documented. Talk to us about a cleaning schedule that protects you.