Pre-completion formalities (Procedural steps for the grant of a lease or underlease)- FS

Question 1

What documents are involved in the completion of a lease?

Answer 1

1. The lease, signed by the landlord.
2. The counterpart, signed by the tenant.

These are exchanged on the day of completion so that each party has a signed version.

Question 2

What is the purpose of having a lease and a counterpart?

Answer 2

To ensure both landlord and tenant retain an executed copy of the lease, fulfilling legal and practical requirements for completion.

Question 3

Who typically prepares the draft lease for completion?

Answer 3

The landlord’s solicitor prepares the draft lease and sends the counterpart to the tenant’s solicitor for signature.

Question 4

What is the purpose of pre-completion searches in lease transactions?

Answer 4

To verify that nothing has been added or changed on the Land Registry since pre-contract searches were completed, protecting the tenant.

Question 5

Pre-Completion Searches?

Answer 5

Final Land Registry searches carried out before lease completion to confirm there are no recent adverse changes affecting the title.

Question 6

When are pre-completion searches conducted, and why?

Answer 6

Just before completion to provide an updated status of the title, as pre-contract searches may have become outdated.

Question 7

Why is it important to update search results close to completion?

Answer 7

To protect the client’s interest and avoid being affected by any intervening registrations or encumbrances not visible at the contract stage.

Question 8

How do pre-completion formalities for leaseholds compare to freehold transactions?

Answer 8

They are broadly the same, involving document execution, exchange, and updated title checks for legal and commercial certainty.