Hi can a tenant take all the fittings they have installed including lighting and copper piping and three phase power etc etc as they paid to have this installed and now want to take it out unless i pay some $$$ then they will leave it.
Just want thoughts on if they can or can't do this
And has this ever happend to you and what did you do.Thanks
Hi Keiko,
it all depends on what is written in the lease.
Usually it says the tenant must return the property back to its original state when they moved in before they fitted it out.I always put too that they must re paint the property fully on leaving. If they want money for the fitout ,and you believe it would be beneficial to keep it, try work something out with them
that worksd for both(ie for eg they dont have to paint the place and you will keep the additions and clean as needed)Luke Taylor | Hope Property Investing
http://hopepropertyinvesting.com
Email MeProperty Support,Strategist and Buyers Agent
Look at it this way, you gave them 'nothing', you should expect 'nothing' in return ie read the make good clause in the lease, any clause which relates to transfer of ownership and obligations with regards to incentives paid (eg fitout may transfer to lessee at some point in time however all depreciation has been claimed by the lessor).
Strictly speaking requiring the tenant to repaint prior to vacating/post makegood can be argued that this is not make good. It is better to have the tenant repaint in the secondlast year of the lease + make good & touchup.
Thanks world yea i don't think its worth me buying the things as i don't no who the new tennant will be and i could be wasting $$.
I don't realy care that they take what is theres but stuff like copper piping for the hot water that is just stupid and the power cables it will cost them more to take these than the scrap yard would give them but i quess there pist i don't want to pay them any money.I thought if the tennant fixes something to the building then it stays with the building when they leave?
The premises should normally be restored to the condition that they were in when the lease was originally entered into, with the exception of fair wear and tear.
If it costs them more to remove it than the stuff is worth, it sounds like they just want to get something (anything!) for it, but they agreed to the make good clause when they signed the lease, and you have every right to enforce it.
You can tell them they can remove the stuff if they like, or they can leave it if they like, but you are not going to pay for it. However, IF they DO remove it, then they will need to patch up any damage that they cause in the removal process.
At the end of the day, the tenant in this situation is clearly in a much weaker bargaining position, so in a sense, it just depends on how nice you want to be. If they were good tenants, then perhaps you should give them something fair as a good faith gesture, particularly if you have other properties for them to rent.
If not, then I guess it's not personal…
If they paid for it, why would you not let them take it?? I makes sense to me that if they paid for it, it's theirs…
Unless there is something that you specifically want them to leave eg hws, then get them to remove the lot – you can't second guess what the next tenant may want to use or whether it will suit them eg a 50 litre hws will not suit if they are going to have a commercial kitchen.
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