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ARTICLE · 26 OCTOBER 2010

Recovering Possession For Redevelopment

Security of tenure for business tenants in England and Wales can make it costly and time consuming for landlords to recover possession for redevelopment.

United KingdomReal Estate and Construction

Security of tenure for business tenants in England and Wales can make it costly and time consuming for landlords to recover possession for redevelopment.

Is it possible for a tenant to defeat the landlord's right to possession by making a summary application to Court before the landlord is ready to redevelop?

A recent English case – Somerfield v Spring – covered this point.

The background facts are that a lease held by Somerfield has expired. They are holding over and seeking a new lease.

However the landlord opposes the grant of a new lease, claiming that it intends to redevelop.

This case has already been before the Courts once before, in June 2009. The landlord had entered administration and – hoping to buy time to work up a redevelopment scheme – the landlord's administrators refused to allow the tenant's lease renewal claim to continue in the normal way. Somerfield felt this would prejudice their claim for a new lease and successfully applied to Court

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