COVID-19 – MORATORIUM ON RENT PAYMENTS FOR COMMERCIAL AND RETAIL LEASES
With the Prime Minister’s comments overnight that some form of payment moratorium will be imposed in the coming days on commercial and retail leases to assist tenants affected by the Corona Virus outbreak, the Government’s recommendation is that landlords, tenants and their banks ‘sit down’ and talk to each other about suitable arrangements in the first instance.
Any arrangement dealing with either rent forbearance or rent free periods granted by landlords to tenants should be documented by written variation to the lease terms.
HOW WE CAN HELP
We are well placed to assist landlords and tenants in negotiating the terms of any rent forbearance or rent free period granted during the period of the COVID-19 outbreak and to prepare the required documentation to ensure the parties’ rights are protected.