A contract is an agreement between specific individuals to do or not do certain things. The lease agreement takes this stage further. The lease is executed with the land and no individuals are specified.
As a lease is attached to the land or ‘runs with’ the land, owners and tenants can come and go for the duration of the lease, but always subject to the terms of the lease. Of course, if you think about it, this is ideal and practical, but it can lead to problems.
The lease must contain the following clauses to comply with current law:
1. Identification of the property
The property is called “a demise” and is described in the lease by reference to a plan. The plan will have a description explaining that it correctly shows the property you intend to purchase. If there is any discrepancy, the client has to notify the lawyer of it.
2. Rights granted
Lease rights are granted so that the property “functions” as a habitable apartment, for example, road access, water and electricity supply, among others. These rights must be in the lease and may include the following, but in practice they can cover any right. Popular examples of apartments are as follows:-
3. Right to provide services through the adjoining property
4. Right to go to the neighbors to repair said services and the property itself, repairing the damage caused.
5. Right to use the roads and sidewalks of the urbanization
6. Right to use the common parts of the building
7. Right to use the gardens, lawns and recreation areas of the property and the farm together with other legal occupants
8. Right to use communal dumps
9. Right to shelter and support
10. Right (subject to payment of all charges) to use a club room or other common facilities on the estate
11. Right to the benefit of covenants and restrictions similarly imposed on other residents as on death property
12. Right to use the bike shop
13. Right to use master air television
14. Right to use assigned parking space
15. Right of way over a reserved area.
16. Reserved rights
These are rights retained by the lessor and work in the opposite way to the rights granted. In other words, the landlord and other people have rights to your death or the land.
tenant covenants
The pacts are a set of promises that run with the land. The tenant can assign his interest many times but will always be subject to the terms (promises, agreements or pacts) that run with the land.
owner covenants
This is a list of agreements that the Landlord makes with the tenant and may include the following:-
1. Obligation to impose similar rules and agreements on any other person to whom part of the property is leased. If necessary, and if its costs are paid, the landlord will enforce such regulations and agreements against anyone who violates the terms of your lease.
2. Obligation to insure the entire building and the common parts.
3. Obligation to maintain and decorate the structure and exterior of the building.