Good Lawyer Guide's response

The general rule is that you, as tenant, will have to pay for the ‘reasonable cost’ of putting the property into a sound condition. Basically, this should be the same condition that it was in at time the lease was originally granted. You probably do not have detailed evidence of that condition (unless photographs were taken at the time). The lease may also say that you have to repaint and redecorate throughout (even if the walls are all in good condition and do not really need repainting). Likewise, if you have made any alterations (eg putting partition walls) then you will almost certainly have to remove those and make good any damage caused by removing them.

Most tenants think that landlords overclaim for dilapidations at the end of a lease. It may be too late for you, but the best advice to give to anyone taking on a business lease is to get a good record of the condition of the property (eg photographs, and maybe even a surveyor’s report). That will then give you firm evidence so you can argue the position with the landlord at the end of the lease.

If the building is in bad condition then the sums involved can be very large. In that situation you may be able to argue that the landlord cannot claim more from you than the reduction in value of his property. For instance, suppose the cost of all the repairs would be £100,000. If you can get a valuer to say that doing all the work will only add £50,000 to the value of the empty property, then you may well be able to limit the payment to your landlord to that £50,000. Similarly, if your landlord is planning to demolish the building (so any repairs you do will be wasted) then the likelihood is that he cannot charge you for those unnecessary repairs.

For further advice, it is as a surveyor – not a lawyer – that you need (try to find a surveyor who specialises in dilapidations).