A dilapidations claim isn’t about profit; it’s about recovering actual loss. To build a robust claim and improve your chances of recovery, consider the following steps
Be proactive early.
Serve a comprehensive dilapidations schedule 6–12 months before lease expiry. This gives everyone clarity and time to plan.
Keep your records organised.
Up-to-date leases, alteration licences, base build specifications and other relevant documents are essential when supporting a claim.
Start marketing the premises quickly.
If you intend to claim for loss of rent, evidence is key. Begin marketing early and prepare to robustly justify any rent loss claimed.
Document any payments in lieu.
If you agree a capital payment or rent-free period with a new tenant in place of dilapidation works, ensure it is explicitly noted in the heads of terms and reflects actual costs.
Undertake the works yourself where possible.
Landlords who complete dilapidation works are generally in a much stronger position than those trying to negotiate hypothetical losses.
Be realistic about supersession.
Re-letting often involves more extensive refurbishment than the outgoing tenant’s obligations require, and full recovery is unlikely in such cases.
Don’t negotiate on your own.
Using a specialist surveyor typically achieves a stronger, more cost-effective settlement than handling negotiations yourself.
By taking these steps, landlords can manage risk, support their claims and keep the re-letting process on track.
Need help with your dilapidations strategy? Speak to our specialists to strengthen your claim and protect your position.
