License To Alter (LTA) and Related Landlord and Tenant Matters

The HJA team has experience with License to Alter matters from all sides, serving as consultants to both the Landlord and the tenants. And on the client side, as a landlord.

There are two main routes for the Landlord to proceed, which we refer to as

1.      Traditional LTA Process

This is where the landlord instructs us to review the tenant proposal, make comments, and then write a report to the client advising of our findings with recommendations. This typically goes to the property manager.  We then normally have no further input until a post-work inspection is required.

2.      Managed LTA Process

This is where we review the tenant proposal, brief you, and work with the tenant team to resolve the issue so the proposal can proceed.  

Managed LTA Process is our preferred route, as we can assist the landlord in understanding the requirements and, where possible, deliver an outcome that allows the tenant to set up their business as needed while protecting the landlord's investment, other occupiers, and adjoining tenants.  As well as achieving this in a more timely manner.  The sooner the lease is signed, the sooner the rent-free period ends and the tenant starts paying rent.

Once we have all issues brought to a satisfactory state, we prepare schedules divided into 3 parts.

1.      Items that are required to be actions prior to the works on site starting. (Normally, we require structural alteration to be decided in full, except for specialist contractor items, prior to a license being signed.)

2.      Items to be provided once the works have started, but before the item referred to is installed/ordered, such as structural connection details.

3.      Items to be provided post the works.

We can provide the following supporting services to the LTA

1.      Project Management of the LTA process.

2.      Site monitoring of the tenant works on site and liaising with the Landlord's team.

Provide fit-out Guides

Fit-out guides for the tenant to have landlord-furnished information. And understand the Landlord's requirements.

All of which help the tenant design their scheme in a more expedient manner. Thus, being able to trade more quickly and reduce the time until rent is paid, resulting in positive cash flow for the Landlords.