Evicting a Tenant From Commercial Property

When a tenant of a commercial property falls behind on their rent, it is likely a landlord's patience will quickly run thin and action will be taken to obtain the outstanding debt. This can either be done through the courts, or by other means (such as summary diligence or contacting the guarantor).

However, if such measures to collect rental arrears fail, then a landlord may want to consider the possibility of eviction.

Evicting a Tenant: What Action Can You Take?

Evicting a tenant from a commercial property can be stressful and time-consuming, particularly as there are many legal aspects to comply with. So if you are facing the prospect of evicting a tenant, you may find the following guidance useful:-

1. Seek Legal Help.

While dealing with your tenant directly may seem the best option - particularly in terms of saving time and money - it is crucial you take action through the official channels. A solicitor specialising in commercial property will be able to advise you of the necessary steps to take, ensuring all the appropriate paperwork is filled out and the relevant legalities are adhered to.

2. Explore other options.

Your legal expert may also be able to suggest other options for collecting rental arrears. One such alternative is to leave the tenant in place but seize goods from the property, thereby claiming the outstanding debt your tenant owes you. To do this, it is necessary to serve a letter of notice warning your tenant of your intentions. If this fails to spur them into action, a bailiff can be instructed to enter the property, seizing goods to cover the value of the debt.

Ordinarily, the bailiff's expenses must then be covered by the tenant. However, there are some exceptions to this rule. For example, if the money made by the auction of the seized goods does not cover all the costs (such fees, transportation and storage) then a landlord must pay the difference.

3. Terminate the lease and regain the property.

However, if your tenant has broken a clause of the lease, then it can be possible to forfeit the lease. In such an event, a bailiff may be instructed to attend the property with a locksmith. Once the locks have been changed, the tenant no longer has the right to enter.

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