Amended versions of the MCL suite of documents

Michael CallaghanMCL News, Updated documents

From today, amended versions of the Model Commercial Lease (MCL) suite of documents are now available on the MCL website.

With a few exceptions, the changes are mainly of a drafting nature.  The revised versions of the documents have been designated version 1.2.

As with changes introduced when version 1.1 was issued in June 2015, the majority of the amendments have been suggested by users as a result of using the MCL documents in transactions.  Other changes have been made in connection with the proposed introduction of the minimum energy efficiency standard (MEES) in 2018, or reflect points – mainly minor drafting issues – that have been identified by a number of firms that are preparing to replace their precedent leases with the MCL leases (or, in a number of cases, that have already done so).

Six additional forms of licence for alterations have been introduced, including licences permitting works outside the premises that have been demised, licences to combine two sets of premises and a retrospective licence to carry out works.

We have also added on the Guidance section of the MCL website a Style Guide, which will assist users to covert the MCL into their own house style.

The MCL Working Group is grateful to everyone who has provided comments and feedback.  Feedback will always be welcome.  Ideally please send comments in writing using the form on the Feedback/contact page on the MCL website.

Full details of the changes

A new page headed “MCL changes – July 2016” is now available on the Guidance section of the MCL website.  On that page, you will find links to

  • an explanatory note that highlights the changes that have been made and, where relevant, the reasons for making them. It will assist those who wish to make corresponding changes to documents that they have created on the MCL. It also lists the six additional forms of licence for alterations that have been introduced.
  • a PDF document that shows the changes that have been made to the text of the lease for a shopping centre unit (MCL-RETAIL-07).

Downloading older versions of the MCL documents

  • The original versions of the MCL documents are still available and will continue to be available for the foreseeable future. They can be downloaded by clicking on the link “All versions” which appears to the right of the document’s number.
  • The updated version of each MCL document can be downloaded by clicking on its number on the relevant page on the MCL website (for example, MCL-OFFICE-01 for the lease of a whole office building).
Michael CallaghanAmended versions of the MCL suite of documents

Consultation on proposed amendments to the Model Commercial Lease to take account of the Minimum Energy Efficiency Standard regulations

Peter WilliamsMCL News

Today we have issued a discussion paper on proposed amendments to the Model Commercial Lease (MCL) to take account of the Minimum Energy Efficiency Standard regulations and the Heat Network regulations.

The purpose of this paper is to consider only changes that may be appropriate to the provisions of the MCL.  However, the issues discussed in the paper may be relevant to other forms of lease.

We would be grateful to receive as many views as possible on the proposed amendments.   Please send them by e-mail to consultation@modelcommerciallease.co.uk to arrive by 6.00 pm on Monday 26 October 2015.

Click here to download the discussion paper.

Peter WilliamsConsultation on proposed amendments to the Model Commercial Lease to take account of the Minimum Energy Efficiency Standard regulations

Update to licence to sub-underlet

Michael CallaghanMCL News

We have made a small change to the licence to sub-underlet (MCL-LICUNDER-02) to ensure that the parties are correctly defined.  The new version 1.2 of the licence can be downloaded from the Asset Management section.

Michael CallaghanUpdate to licence to sub-underlet

Amended versions of the MCL suite of documents

MCL UserMCL News

From today, amended versions of the Model Commercial Lease (MCL) suite of documents are now available on the MCL website.

With a few exceptions, the changes are mainly of a drafting nature.  The revised versions of the documents have been designated version 1.1.

The majority of the amendments have been suggested by users as a result of using the MCL documents in transactions.  Other changes reflect points – mainly minor drafting issues – that have been identified by a number of firms that are preparing to replace their precedent leases with the MCL leases (or, in a number of cases, that have already done so).

The MCL Working Group is grateful to everyone who has provided comments and feedback.  Feedback will always be welcome.  Ideally please send comments in writing using the form on the Feedback/contact page on the MCL website.

Details of the changes

A new page headed “MCL changes – June 2015” is now available on the Guidance section of the MCL website.  On that page, you will find links to

  • an explanatory note that highlights the changes that have been made and, where relevant, the reasons for making them. It will assist those who wish to make corresponding changes to documents that they have created on the MCL.
  • a PDF document that shows the changes that have been made to the text of the lease for a shopping centre unit (MCL-RETAIL-07).

Downloading different versions of the MCL documents

The updated version of each MCL document can be downloaded by clicking on its number on the relevant page on the MCL website (for example, MCL-OFFICE-01 for the lease of a whole office building).

The original versions of the MCL documents are still available and will continue to be available for the foreseeable future.  They can be downloaded by clicking on the link “All versions” which appears to the right of the document’s number.

MCL UserAmended versions of the MCL suite of documents

Launch of amended versions of the MCL suite of documents

Peter WilliamsMCL News

 

Amended versions of the Model Commercial Lease (MCL) suite of documents will be available on the MCL website from 9.00 am on Wednesday 24 June 2015 (midsummer quarter day).

With a few exceptions, the changes are mainly of a drafting nature.  The revised versions of the documents have been designated version 1.1.

The majority of the amendments have been suggested by users as a result of using the MCL documents in transactions.  Other changes reflect points – mainly minor drafting issues – that have been identified by a number of firms that are preparing to replace their precedent leases with the MCL leases (or, in a number of cases, that have already done so).

The MCL Working Group is grateful to everyone who has provided comments and feedback.  Feedback will always be welcome.  Ideally please send comments in writing using the form on the Feedback/contact page on the MCL website.

Details of the changes

On 24 June, a new page headed “MCL changes June 2015” will be available on the Guidance section of the MCL website.  On that page, you will find links to

  • an explanatory note that highlights the changes that have been made and, where relevant, the reasons for making them. It will assist those who wish to make corresponding changes to documents that they have created on the MCL.
  • a PDF document that shows the changes that have been made to the text of the lease for a shopping centre unit (MCL-RETAIL-07).

Downloading different versions of the MCL documents

From 24 June, the updated version of each MCL document can be downloaded by clicking on its number on the relevant page on the MCL website (for example, MCL-OFFICE-01 for the lease of a whole office building).

The original versions of the MCL documents are still available and will continue to be available for the foreseeable future.  They can be downloaded by clicking on the link “All versions” which appears to the right of the document’s number.

Peter WilliamsLaunch of amended versions of the MCL suite of documents

Four-month review of the MCL documents

Peter WilliamsMCL News

The MCL documents were released on 10 July, and have therefore been available for use for almost four months.

The MCL working party is planning to review all the comments that have been received from users at its next meeting in the middle of November.

It would therefore be very helpful if users could let us have any comments for this purpose by Monday 10 November.

The working party would also be very interested in hearing about:

(a)  any transactions in which the MCL documents have been used, and how negotiations proceeded; and

(b)  whether firms are adopting the MCL suite of documents as their standard templates and, if so, whether they are making any changes to the published versions of the documents.

Please use the feedback/contact form for all communications.

Peter WilliamsFour-month review of the MCL documents

Index linked rent review clause

Michael CallaghanUpdated documents

MCL-LEASECLAUSE-03

We have made a small change to the index linked rent review clauses.  In Part 3, the definition of “Current Rent” has been amended to refer to the “Notional Rent Review Date” in place of the “Rent Review Date.

Michael CallaghanIndex linked rent review clause

Update on updating the MCL documents and new RSS feed

Peter WilliamsMCL News

Three changes have been made today to the MCL website.

Keeping the MCL documents updated

Potential users of the MCL documents were expressing concern that they might not be kept up to date.  The working group that produced the MCL documents are happy to clarify that they will keep the MCL documents under review in the light of feedback from users, new law, court decisions and developments in market practice, and update them when appropriate.

The wording of the relevant FAQ has been updated accordingly.

RSS Feed

An RSS Feed has been added to the MCL website.  If you subscribe to the RSS Feed, you will be notified automatically when new items are added to the News page.  You will find the subscription button for the RSS Feed on the Home Page (look for the  rss-icon  icon).

If you are using Google Chrome as your web browser, you will need to download and install an RSS Reader extension for Chrome from the Google Chrome webstore in order to receive RSS feeds.

Link to Gateley’s blog article on the MCL

A link has been added from the Guidance page to Gateley’s recent blog article on the MCL.

 

 

Peter WilliamsUpdate on updating the MCL documents and new RSS feed

Model Commercial Lease will speed up lease negotiations

Peter WilliamsMCL News

The launch of a new family of leases and related documents today heralds faster and cheaper negotiation of commercial leases, benefiting both landlords and tenants. The Model Commercial Lease (MCL) is written in modern language, comes in a number of versions to suit the premises being let and is available free to everyone. The hope is that before long the MCL will become a familiar starting point for the majority of commercial leasing transactions in England and Wales.

The MCL was produced by a working group of property lawyers and landlord representatives set up three years ago by the British Property Federation’s Commercial Committee to review the commercial leasing process. The group consulted informally with most of the major law firms, and consulted more formally with a number of BPF members.

Different versions of MCL leases are available to suit different types of commercial buildings, such as offices, shops, shopping centre units and industrial/logistics units. Other documents are also available, including a rent deposit deed and typical licences.

The MCL is intended to avoid much of the unnecessary negotiation on most routine letting transactions by representing a fair starting point for both parties, and in many cases a fair end point as well. The aim has been to remove the “ritual dance” at the start of a transaction, freeing up the parties to discuss the issues that are specific to their deal and those issues that actually matter to them.

Edward Benzecry, a partner at law firm CMS Cameron McKenna, who led the working group, said

“Virtually every law firm has its own form of lease. They all say much the same thing but using different words in a different order. It makes negotiation tedious, costly and time-consuming, with little practical benefit to either party. The MCL is designed to introduce at least a degree of standardisation. It has been achieved with banking and construction documents; surely we can do the same with leases as well.”

The Model Commercial Lease can be downloaded from www.modelcommerciallease.co.uk.

Peter WilliamsModel Commercial Lease will speed up lease negotiations