How have the terms in English commercial leases evolved in recent years - 'Conclusions'

In my previous article, I discussed the changes I've noticed in the terms incorporated in the leases I'm currently reading. I've stated from the beginning that my opinions are based on what I'm seeing, rather than a scientific analysis of the entire property sector. Every year, I read 500-1000 leases, and while this is a small sample, it is interesting to note that the trends are consistent across many of the documents.

It is safe to say that terms incorporated benefit tenants rather than landlords. When we consider the concerns for the high street and offices in general and?the measures taken during the pandemic, this comes as no surprise to me. Indeed, I was surprised to see no further surrenders or tenants vacating their premises; instead,?a temporary restructuring of the rent terms was the preferred and most sensible option.

The decrease in parties seeking protection under The 1954 Act is one area that surprises me, and it really shouldn't. In the past, protection under The Act was primarily for the benefit of the tenant who was occupying for a longer term, and it was unclear what the next 25 years held. Shorter terms indicate that both landlord and tenant are less concerned about the consequences of contracting out.

The property market is constantly changing and evolving, and both residential and commercial leases will always reflect market conditions. I believe that the traditional commercial lease has changed as a result of external pressures, not least the proliferation of serviced offices offering flexible terms and conditions. Given the current energy and cost of living crisis, it will be interesting to see how a lease will look in 5 years. It will undoubtedly continue to keep up.