Grounds to Oppose a Lease Renewal (Section 30)
Written by Scott Jones, founder of CommercialPropertyKiln · Last updated
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Under the 1954 Act you can only refuse a tenant a new tenancy on one of the grounds set out in section 30. The two that landlords rely on most are redevelopment and own occupation.
The main grounds
- Ground (f), redevelopment: you intend to demolish or reconstruct the premises, or carry out substantial works, and cannot reasonably do so with the tenant in occupation.
- Ground (g), own occupation: you intend to occupy the premises for your own business or as your residence. There is generally a five-year rule that limits reliance on this ground where you bought the reversion recently.
Other grounds cover tenant fault, such as disrepair, persistent late rent, or other substantial breaches, and situations like offering suitable alternative accommodation.
Compensation
Where you succeed on the no-fault grounds (f) and (g), the tenant is entitled to compensation of one times the rateable value, rising to two times where they have occupied for 14 years or more.
Proving your intention
For redevelopment and own occupation you must show a genuine, settled and realistic intention at the date of the court hearing, usually supported by evidence such as plans, funding and professional appointments. These cases are fact-specific and frequently litigated, so build the evidence early and take legal advice. See renew vs redevelop.
What are the main grounds to oppose a lease renewal?
Most commonly redevelopment (ground f) and own occupation (ground g), plus tenant-fault grounds such as disrepair or persistent late rent.
What do I need to prove for redevelopment or own occupation?
A genuine, settled and realistic intention at the date of the court hearing, usually supported by plans, funding and professional appointments.