Cases - S.I. Pension Trustees Ltd v Ministerio de Marina de la Republica Peruana

Record details

Name

S.I. Pension Trustees Ltd v Ministerio de Marina de la Republica Peruana

Date

[1988]

Citation

1 EGLR 119 or NPC 99

Keywords

Commercial property – rent review – restricted use of premises – licence granted for change of use – covenant to use premises only for a particular use- whether the rent review clause was to be construed as being restricted to the use in the original lease or as in the licence

Summary

The lease restricted the use of the premises to the offices of financial consultants but when the lease was assigned to the Peruvian Marine Ministry the landlord granted a licence not only for assignment but also change of use to a diplomatic mission and the assignee covenanted to use the premises only for that use. Rent reviews under the lease were to be based on a letting for any use within the same Use Class as the use 'permitted hereunder'. Since the licence permitted a use which was personal to the assignee, the review clause was to be interpreted as referring to the original permitted use.