Avoiding dilapidations – top tips for commercial property landlords

By Lea Hough Chartered Surveyors

29 Mar 2019

100_8830.jpg

Repairs required during or at the end of a tenancy or lease, known as dilapidations, can present serious problems for landlords of commercial property.

Landlords who fail to deal with dilapidations thoroughly can find themselves suffering serious financial implications. Not only do they risk leaving themselves with a property with a depreciated value, they may also finding themselves having to fund several thousands of pounds worth of repair work. In addition to this, it is likely that it will be difficult to re-let premises that are in disrepair, resulting in potential loss of revenue.

Lea Hough’s team of Chartered Surveyors have advised many commercial landlords on how to avoid the pitfalls of dilapidations. Here are some of our top tips…

Cross the t’s and dot the i’s

Having a robust lease in place is essential to protecting yourself against the risk of dilapidations. An experienced commercial property solicitor should be able to advise as to the wording of any such clauses within a lease.

Before the start of the lease, the incoming tenant may take the step of having their surveyor draw up a schedule of condition. A landlord would be advised to have their own surveyor verify and agree the schedule of condition, to ensure it is up to date and gives an accurate account of the property’s layout and state of repair. The Schedule of Condition can then be annexed to the lease for referring back to during and at the end of the lease.

Ensure the property is maintained during the lease term

One of the areas landlords go wrong is not keeping on top of the condition of their properties during their tenant’s leases. A lease can last for several years – during which time a lot of damage can be caused. Undertaking site visits is within a landlord’s rights, so visiting the premises periodically to check on its state of repair can help to avoid an accumulation of damage and disrepair. A landlord may choose to delegate this task to a Chartered Surveyor, who can visit a property and ensure that tenants are carrying out repairs stipulated under the lease.

Do not leave it until the lease is approaching its end – by this point the disrepair could be so bad that repair work will take several weeks, especially if a dilapidations claim has to be made against a tenant. Although this means you will be financially compensated for the cost of work and any loss of revenue in the interim period whilst repairs are being undertaken, such as loss of potential rental income, it is favourable to avoid such a situation, not least because not all dilapidations claims are resolved, resulting in some ending up in court.  

Act in plenty of time

Approximately 12 months before the end of a lease, it is likely you will want to appoint a chartered building surveyor to assess the property. Your surveyor will undertake a thorough inspection of the building and determine what repairs need to be completed prior to your tenant’s exit. As well as accounting for the state of the general state of repair, this also includes any alterations that the tenant made to the building that need to be reinstated.

Issuing a dilapidations claim

If the tenant has failed to meet their obligations regarding the property’s state of repair, or has not reinstated alterations, then you should be able to recover the costs of remediation by way of a dilapidations claim. Typically served on an outgoing tenant within the last 12 months of the lease, this will outline all breaches of the repair, redecoration and reinstatement obligations, and stipulate the remedies required. Landlords should expect a response from the tenant to the schedule of dilapidations and quantified demand within 56 days of receipt.

Good advice from a Chartered Surveyor can go a long way to protecting a landlord’s commercial interest in their tenanted property. Lea Hough Chartered Surveyors have many years of experience advising both landlords and tenants of commercial premises.

For further advice, please contact Lea Hough today.

Latest news

1

BAE Systems workers vote for strike action BAE Systems production

BAE Systems workers vote for strike action

23 Oct 2025

2

National Cyber Force launches startup programme in the North West Nick Miles, National Cyber Force deputy director for Samlesbury

National Cyber Force launches startup programme in the North West

23 Oct 2025

3

Foresight announces £90m first close of its third North West regional investment fund Foresight announces £90 million first close of its third dedicated North West regional investment fund

Foresight announces £90m first close of its third North West regional investment fund

23 Oct 2025

4

McMurrays Haulage expands fleet after contract win Warehouse Supervisor at Pets Choice Brad Eddleston and McMurrays Sales Manager Rob Spencer. Photo credit: McMurrays Haulage Limited

McMurrays Haulage expands fleet after contract win

21 Oct 2025

5

Dragons' Den star to shine on Lancashire Business Day Derry Green

Dragons' Den star to shine on Lancashire Business Day

21 Oct 2025

Background image for hub sign up block

LBV Hub

Leverage Lancashire Business View platforms

Post your news
Post your events
Post your offers
Build your network
Improve your SEO
Gain coverage in the magazine
Sign-up
Events
CMI Level 5 Project Management Course
UCLanAerialCampus.jpg.jpg
LBV Hub Seminars
21 Feb 2025 - 21 Feb 2026

CMI Level 5 Project Management Course

Preston Campus, Preston, PR1 2HE

08:00 - 17:00

CMI Level 5 Management and Leadership Course
UCLanAerialCampus.jpg.jpg
LBV Hub Seminars
21 Feb 2025 - 21 Feb 2026

CMI Level 5 Management and Leadership Course

Preston Campus, Preston , PR1 2HE

09:00 - 17:00

Help to grow management course
Help to grow - barriers to growth.png.png
LBV Hub Seminars
26 Sep 2025 - 16 Dec 2025

Help to grow management course

Preston Campus , Preston , PR1 2HE

09:00 - 15:00

RISE - Lancashire's unique leadership programme for women
thumbnail_Emma Weston Illustration WENDY BOWERS RISE Illustrstion.jpg.jpg
LBV Hub Seminars
22 Oct 2025 - 18 Mar 2026

RISE - Lancashire's unique leadership programme for women

East Lancashire Chamber of Commerce, Clayton le Moors, BB5 5JR

09:30 - 15:30

Women scaling up Blackpool Fylde and Wyre
LBV Hub Seminars
22 Oct 2025 - 09 Jan 2026

Women scaling up Blackpool Fylde and Wyre

The Small Business Academy, Blackpool, FY4 5JX

09:30 - 15:30

Lancaster District Business Support Expo
Lancs-cham-logo.jpg.jpg
LBV Hub Networking
29 Oct 2025 - 29 Oct 2025

Lancaster District Business Support Expo

The Platform, Morecambe, LA4 4DB

10:00 - 15:00

Chamber Breakfast Networking – November
Lancs-cham-logo.jpg.jpg
LBV Hub Networking
06 Nov 2025 - 06 Nov 2025

Chamber Breakfast Networking – November

Porsche Centre South Lakes, Carnforth, LA6 1FW

08:30 - 10:30

Lancashire Police business update with The Police and Crime Commissioner
Lancs-cham-logo.jpg.jpg
LBV Hub Roundtables
10 Nov 2025 - 10 Nov 2025

Lancashire Police business update with The Police and Crime Commissioner

Lancaster Castle, Lancaster, LA1 1YN

14:00 - 16:00

Beyond the Brand: Building trust through values and integrity
1.png.png
LBV Hub Networking
11 Nov 2025 - 11 Nov 2025

Beyond the Brand: Building trust through values and integrity

Society1, Coworking Space, Preston, PR1 3LT

18:00 - 20:00

AI, Creativity, and what it means to be human
2.jpg.jpg
LBV Hub Networking
11 Nov 2025 - 11 Nov 2025

AI, Creativity, and what it means to be human

Society1, Coworking Space, Preston, PR1 3LT

18:00 - 20:00

The Business Network Central and East Lancashire
LBV Hub Networking
13 Nov 2025 - 13 Nov 2025

The Business Network Central and East Lancashire

Stanley House, Blackburn, BB2 7NP

11:30 - 14:15

The AI Lab: E-commerce
Ai Lab ecommerce (1).png.png
LBV Hub Seminars
14 Nov 2025 - 14 Nov 2025

The AI Lab: E-commerce

Door4 Office, Burnley Wharf, Burnley, BB11 1JG

09:00 - 11:30

Advertise with us

Reaching 50,000 members, our print, digital and event platforms offer a fantastic way to raise your business profile and help you grow.

Find out more LBV124 Online Graphic
Subscribe now

Weekly news bulletin