Appendix E Example of a Private Sector Leasing Scheme Agreement Please Note: this is an example of an existing lease currently used by King Street Housing Society. This is subject to change to take into account the grant scheme and is currently being reviewed by our Legal Team. DATE : PARTIES: 1 (1) [name of owner] (2) KING STREET HOUSING SOCIETY LTD. of 89 King Street, Cambridge, CB1 1LD (‘the Society’) DEFINITIONS In this Agreement the following words and phrases shall have the following meanings:1.1 “Landlord” means [name of owner] 1.2 “Society” means King Street Housing Society Ltd of 89 King Street Housing Society Ltd 1.3 “The Property” means [name of property] 1.4 “The Rent” means the yearly rent of £[insert amount] 1.5 “The Term” means [insert length of lease] 2 RECITALS 2.1 The Society is a housing association registered with the Housing Corporation under Section 3 of the Housing Associations Act 1985 with charitable status and has from time to time the need to provide temporary housing accommodation 2.2 The Landlord is the owner of the Property 2.3 The Landlord has agreed to let the Property to the Society to enable the Society to provide temporary housing accommodation. 3 OPERATIVE PARTS The Landlord lets and the Society takes the Property TOGETHER WITH all necessary rights of way on foot only in common with all others having the like rights over the paths gardens grounds passageways staircases and landings (if any) to enable the Society its tenants or licensees to get to and from the Property for the Term or until the tenancy is determined as hereinafter provided at the Rent which Rent is to be payable monthly in advance by bankers standing order (and proportionately in respect of any period less than a month) 4 SOCIETY’S OBLIGATIONS AND RIGHTS 4.1. To pay the Rent on the days and in the manner aforesaid 4.2 To keep the interior of the Property in reasonable decorative order (damage by accidental fire or other insured perils excepted) and at the determination of this Agreement and prior to giving vacant possession carry out such decoration as may be necessary to put the Property back into the state of decoration (fair wear and tear expected) as it is on entry and which state of decoration is more particularly described in the Schedule of Condition 4.3 Not to make any structural alterations to the Property without the Landlord’s written consent (which shall not be unreasonably withheld) 4.4 To pay the Rent to the Landlord by standing order or at the address given above or at any address notified to the Society in accordance with Clause 5.9 of this Agreement 4.5 To keep the garden (if any) of the Property in a tidy condition 4.6 Not to use or permit the Property to be used except for temporary housing accommodation and the Landlord consents to the Society sub-letting or licensing the Property for such purpose 4.7 On the Landlord giving to the Society seven days written notice to this effect to permit the Landlord and all persons authorised by him to enter the Property accompanied by an employee or agent of the Society to examine the condition thereof or to do repairs 4.8 In the event that the Landlord fails to comply with the provisions of Clause 5.2 of this Agreement the Society may serve on the Landlord written notice specifying the breach and requiring the same to be remedied within fourteen days from the date of service of the said notice (or forthwith in the case of an emergency) 4.9 If the Landlord does not wish to carry out works specified in a notice served under Clause 4.8 of this Agreement and so advises the Society or if the Landlord fails to remedy any breach specified in a notice served by the Society in accordance with Clause of 4.8 of this Agreement the Society shall have the right to carry out any works required to remedy the breach and shall withhold rent to cover the cost of the works 4.10 If the Property is not in a clean and tidy condition in accordance with Clause 5.8 or in good decorative order the Society may withhold the first month’s rent to cover the cost of such cleaning 5 LANDLORD’S OBLIGATIONS AND RIGHTS 5.1 To pay all existing and future rates taxes assessments and outgoings (whether parliamentary local or otherwise) other than the Council Tax and water and sewerage charges and electricity, gas and other household service charges, now or hereafter imposed or charged upon the owner of the Property 5.2 To keep the structure and exterior of the property (including but not limited to roofs chimneys walls ceilings floors windows doors rainwater goods gullies and grids brickwork plasterwork sanitary fittings fixed appliances bathroom joinery and tiling kitchen joinery worktops tiling and fixed appliances electrical gas oil and water services external paths patios walls sheds garages and outbuildings and any fixed appliances and installations for the provision of space and water heating in good repair and condition provided that the Landlord shall be liable only for such repairs and maintenance as are necessitated by fair wear and tear and normal dilapidation and not for example (and without prejudice to the generality of the foregoing) by misuse or willful damage or neglect by the Society or any occupier of the Property during the term and any extension thereof 5.3 (a) To keep the Property and all the fixtures and fittings therein insured to their full replacement value against fire and all other such perils as the Society may require by a reputable insurance company and to arrange for the Society’s name to be endorsed on such policy of Insurance for the duration of the term (b) If asked by the Society to provide a copy of the policy and proof of payment of the last premium thereunder (c) In case of damage to the Property or to any necessary access to the Property to apply any insurance money received by the Landlord under the above policy in reinstating the Property or any necessary access to the Property as quickly as possible (d) If the money received in respect of a claim is insufficient to remedy the damage then the shortfall will be made good at the Landlord’s expense. (e) If the Landlord fails to undertake either (a) and/or (b) above then the Society may take all necessary action to ensure that the Property is sufficiently insured and any money paid by the Society for this purpose will be a debt due to the Society and repayable as such either on request or by legal action or may be set off against the Rent (f) To arrange servicing of all gas appliances in the property prior to the lease commencing and yearly thereafter and to arrange for gas safety certification work prior to the lease commencing and yearly thereafter in accordance with the Gas Regulations currently in force and to carry out all necessary works arising from the servicing and inspection in a timely manner and all matters adversely affecting the safety of the occupiers immediately and to provide the Society with a copy of all relevant certificates and other documentation within 7 days of the certificate becoming due (g) If the Landlord fails to comply with the provisions of Clause 5.3(f) of this Agreement the Society may arrange for the servicing and inspection work and all necessary works arising from the servicing and inspection to be carried out and shall withhold rent from the Landlord to cover the cost of the works (h) To provide a report from a qualified electrician confirming the soundness and safety of the electricical installation, fixtures and fittings in the Property prior to the lease commencing and five yearly thereafter 5.4 To indemnify the Society against all and any sums which the Society may become legally liable to pay as damages in respect of the accidental loss of or damage to any property arising out of the failure by the Landlord to carry out his obligations as specified and limited under Clause 5.2 above 5.5 Not to place or display any poster notice advertisement or sign on or about the Property which in the opinion of the Society is likely to cause offence 5.6 Not to commit any breach of planning control and to comply with all requirements under the Town and Planning Acts that affect the Property 5.7 At the Landlord’s own expense to obtain all necessary consents licences or permissions to let or sub-let the Property from any mortgagee or superior Landlord and such written consents shall be provided to the Society by the Landlord upon request 5.8 To ensure that the Property is available for letting in a clean and tidy condition to the commencement of the Term 5.9 The Landlord shall serve on the Society written notice of a change of his address 5.10 To use the Landlord’s best endeavour to procure the performance and observance of the covenants as to repair contained in any leases of other properties comprised in the building of which the Property forms part and also as to the contribution to be made by the tenants or owners of such other properties in respect of the expenses of repairing and maintaining all parts of such building as are used in common with all communal easements and appurtenances 6 GENERAL 6.1 If the rent shall be in arrear and unpaid for twenty-one days after it has become due (whether formally demanded or not) and not being lawfully withheld by the Society in accordance with the terms of this Agreement it shall be lawful for the Landlord to peaceably re-enter and take possession of the Property whereupon this Agreement shall determine but without prejudice to the Landlord’s other rights and remedies for any prior breach of this Agreement 6.2 If and whenever during the term the Property or any part thereof is damaged or destroyed so as to be unfit for occupation or use the Rent shall cease to be payable until the Property shall have been rebuilt or reinstated and made fit for occupation and use 6.3 Any consent approval determination authority or notice required to be given by the Landlord under this Agreement shall be in writing and shall be sufficiently served if sent to the Society’s registered office by registered post or recorded delivery post or if left for it at that address and any consent approval determination authority or notice by the Society shall be in writing and shall be sufficiently served if delivered to the Landlord at his last know address or sent to him by registered post or recorded delivery post to such last known address 6.4 If any dispute or difference shall arise between the Society and the Landlord about or arising from any provision of this Agreement the dispute or difference shall be determined by a single arbitrator in accordance with the Arbitration Act 1996 or any statutory modification or re-enactment thereof for the time being in force 6.5 Each party shall bear their own costs and expenses in connection with the preparation and completion of this Agreement and counterpart thereof and any stamp duties payable in connection therewith 6.6 If at any time during the Term the Property is or becomes unfit for occupation or use or inaccessible otherwise than as a result of a breach by the Society of any of the covenants or conditions contained in this Agreement the Society shall at any time subsequently be entitled upon giving to the Landlord or his agent four calendar months written notice to determine this Agreement and upon the expiry of such notice the Term shall immediately cease 6.7 Either party may terminate this Agreement by giving to the other at least four calendar months written notice to expire at the end of the initial term of one year or on any subsequent anniversary of the lease commencement and upon expiry the term hereby created shall cease SAVE THAT the length of any notice served by the Landlord on the Society shall be extended if the Society is at the date of this notice undertaking legal action against any sub-tenant or other occupier of the Property to obtain possession of the Property and in such circumstances the Landlord’s notice shall be deemed to expire on the day upon which the Society obtains possession of the Property from such sub-tenant or other such occupier. SIGNED BY The Landlord Dated: SIGNED BY For and On behalf of the Society Dave Merritt Housing Services Manager Dated: