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Business Tenancies (Fair Dealings) Act 2003
48Relocation
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48 Relocation
If a retail shop lease contains a provision that enables the business
of the tenant to be relocated, the lease is taken to include
provisions to the following effect:
(a) the tenant's business cannot be required to be relocated
unless and until the landlord has provided the tenant with
details of a proposed refurbishment, redevelopment or
extension sufficient to indicate a genuine proposal that:
(i) is to be carried out within a reasonably practicable time
after relocation of the tenant's business; and
(ii) cannot be carried out practicably without vacant
possession of the tenant's shop;
(b) the tenant's business cannot be required to be relocated
unless the landlord has given the tenant at least 3 months
Business Tenancies (Fair Dealings) Act 2003 38
written notice (relocation notice) of relocation and the notice
gives details of an alternative shop to be made available to the
tenant within the retail shopping centre;
(c) the tenant is entitled to be offered a new lease of the
alternative shop on the same terms and conditions as the
existing lease, except that the term of the new lease is to be
for the remainder of the term of the existing lease;
(d) for paragraph (c), the rent for the alternative shop is to be the
same as the rent for the existing retail shop, adjusted to take
into account the difference in the commercial values of the
existing retail shop and the alternative shop at the time of
relocation;
(e) if a relocation notice is given to the tenant, the tenant may
terminate the lease within one month after the relocation
notice is given by giving written notice of termination to the
landlord, in which case the lease is terminated 3 months after
the relocation notice was given, unless the parties agree that it
is to terminate at some other time;
(f) if the tenant does not give a notice of termination as
mentioned in paragraph (e), the tenant is taken to have
accepted the offer of a lease as mentioned in paragraph (c),
unless the parties have agreed to a lease on some other
terms;
(g) the tenant is entitled to payment by the landlord of the tenant's
reasonable costs of the relocation (including but not limited to
costs incurred by the tenant in dismantling and reinstalling
fixtures and fittings) and legal costs in connection with the
relocation.