What is an IRI (internal repairing and insuring) lease?
- As your landlord, we are responsible for looking after the outside of your building and you look after the inside. Many industrial properties are let on an FRI (full repairing and insuring) basis, which means tenants are responsible for maintaining and repairing the inside and outside of their buildings, including the walls, cladding, gutters and roof
- We have specified what that includes in our Smart Lease and our Traditional Lease and in the details below
Why do we do IRI leases and what is the benefit to our customers?
- You consistently tell us you want to spend less time looking after your premises and more time working on your business. Maintaining buildings is what we do for a living, and our economies of scale and expertise means we are best placed to do this.
- We appreciate that the space you occupy is an important part of your business appearance. By taking control of all external repairs and by running a planned maintenance program we can ensure a consistently high standard of appearance all year round. This means your estate will be clean, tidy and looking smart for when that all-important customer pops in for a cup of tea. By contributing a small fixed amount towards all external maintenance throughout your lease you can avoid any nasty surprises when the time comes to move on to pastures new. We strive to make the moving in and moving out process as smooth as possible, and avoiding complicated and time-consuming dilapidations and external repair issues is a key part to this.
What is a Maintenance Charge?
Our Maintenance Charge is a bit like a service charge which would normally be payable on other leases but with five key differences…
- Our charge is fixed, so you know what you are going to pay every year of your lease. This is different to a traditional service charge which can vary significantly from year to year depending upon what maintenance work is required.
- The charge includes all repairs and maintenance of the common parts you share with other tenants, including the estate roads/estate signage/security
- It also covers any repair and maintenance required to the external parts of your unit. This includes proactive and reactive works. Our proactive works schedule will help keep your unit in great condition, but, if your roof springs a leak, give us a call and we will be there to fix it.
- The charge increases by 3% each year to allow for inflation in the cost of labour and materials.
- Because our charge is fixed and includes all external repairs and maintenance it is a lot simpler than a traditional service charge regime, which means it’s cheaper to operate and better value for money.