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NickiOliver
21-02-2011, 15:40 PM
I work for a local council, we have a lease (45 years left) on our recreation ground. We want to allow the Scouts to build on the land but the landlord will only allow a sublease with a rolling break clause operating from day one so the sublease ends if the head lease ends, however unlikely that is. The Scouts have to have a sublease.

It is extremely unlikely the head lease will be surrendered, is it possible to insure against this happening to provide the Scouts with some indemnity.

Thanks for your help.

jeffrey
21-02-2011, 15:53 PM
Even if the Council (C) were to surrender the Head Lease to the freehold reversioner (F), the Underlease would be unaffected (assuming that F consented to C granting it). Maybe C would covenant not to surrender?