Cases - Pleasurama Properties Ltd v Leisure Investments (West End) Ltd

Record details

Name
Pleasurama Properties Ltd v Leisure Investments (West End) Ltd
Date
(1986)
Citation
1 EGLR 145, CA
Legislation
Keywords
Commercial property – rent review – voluntary improvements – express provision to disregard tenant’s voluntary improvements - obligation to reinstate premises to retail use at the end of the term – whether the express provision to disregard improvements also imported a disregard of any reinstatement obligation relating to those improvements
Summary

The lease of retail premises contained a rent review clause with the usual direction to disregard any effect on rent by reason of any improvements carried out by the tenant. The tenant had converted part of the premises into a dolphinarium pursuant to a licence for alterations and change of use, under which the tenant was obliged to reinstate the premises to retail use at the end of the term. The tenant argued that, at rent review, the obligation to reinstate the premises should be taken into account, but the landlord successfully argued that the express direction to disregard improvements also imported a disregard of any reinstatement obligation relating to those improvements.