Browsing all articles from March, 2020
Mar
24

British takeaways campaign for rent holidays

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Rent Holidays:

In the wake of the
coronavirus British restaurants and takeaways are asking their
landlords to allow them a rent holiday as they say their businesses
are “on the brink”.

The British Takeaway
Campaign (BTC) represents restaurants and takeaways throughout the
country, most of them small businesses without huge resources behind
them.

Most commercial
tenants pay their rents quarterly in advance on the quarter days, and
as the next one is due next week (1st April) the group is
calling for an immediate three-month freeze.

The BTC group has
warned that without this help from landlords, many thousands of
Britain’s restaurants and takeaways will be facing insolvency “within
weeks, if not days”.

Ibrahim Dogus BTC
chair has written a letter to the major landlord trade bodies
including the British Property Federation and Revo:

“We appreciate
that landlords will have significant concerns for their income and in
recent years have had to cope with the demise of traditional
retailing and its impact on the high street,”

“However,
restaurants and takeaways simply do not have the capital to meet
their rent obligations while they struggle to cope with the
challenges coronavirus has brought.”

Dogus reminded
landlords that without the survival of these restaurants they would
be facing long voids with no rents and business rates to pay. It
would be of “mutual interest” to save these businesses says
Dugas.

Prime Minister Boris
Johnson had ordered the closure of all pubs, restaurants and bars
across the UK from last Sunday, and he appealed to all people to stay
at home and isolate unless absolutely necessary, and to avoid close
contact other than with family members (social distance – keeping 2
metres apart), to help to slow the spread of the coronavirus.

Restaurants are to
be allowed to offer takeaway services while taking precautionary
measures, but this will put even more pressure on traditional
takeaways if pubs and restaurants enter the takeaway market, as they
appear to be doing.

The BTC has
confirmed that the British hospitality industry is “on the brink”,
stating that while some landlords have moved to offering rent
holidays or deferments / rescheduling of rent payments, these appear
to remained in the minority.

“Our members tell
us that the majority of landlords are refusing to provide any
flexibility on this issue. In our view, this is irresponsible,”
says Dogus.

Pubs and restaurants
are already laying off staff due to the crisis, but chancellor Rishi
Sunak last week said the government would underwrite wages and pay up
to 80 per cent of the wages for those staff who are unable to work as
a result of Covid-19.

*The traditional English quarter days are: March 25, June 24, September 29 and December 25. In Scotland the traditional quarter days or term days are: 28 February, 28 May, 28 August, 28 November. The modern quarter days: 1 January, 1 April, 1 July.

©1999 – Present | Parkmatic Publications Ltd. All rights reserved | LandlordZONE® – British takeaways campaign for rent holidays | LandlordZONE.

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Mar
24

Progress on adding names to rogue landlord database remains ‘glacial’

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Nearly two years after being launched, the government’s initiative to help councils report the industry’s worst offenders to a national database has now reached 25 entries, or approximately one a month since April 2018.

A further seven landlords and property agents have been added to the government’s flagship ‘rogue database’, housing minister Chris Pincher has revealed.

Some 25 entries are now included within the database, up from 18 six weeks ago, suggesting councils are beginning to secure more banning orders, albeit very slowly.

The information came from a short answer by housing minister Chris Pincher in a written statement to parliament.

This was in answer to a question by Luke Pollard, the shadow Secretary of State for Environment, Food and Rural Affairs.
Pincher confirmed that the database contains 25 entries.

To be included in the database a landlord or property agent must be convicted of a banning order offence and receive a banning order.

When launching the scheme in the spring 2018, the government said it thought there were 10,500 rogue landlords operating within the property market, or 0.7% of the estimated 1.5 million private landlords in the UK.

The government said in July last year that it would open it up to the public. A consultation was completed into the proposals in early October last year but no decision has been taken as civil servants analyse the feedback.

As well as opening up the database, the government also wants to extend the range of offences or infringements that it covers.

This includes failing to provide councils with information when requested, not dealing with mice or rat infestations, causing a nuisance, not providing land information and permitting overcrowding.
 

©1999 – Present | Parkmatic Publications Ltd. All rights reserved | LandlordZONE® – Progress on adding names to rogue landlord database remains ‘glacial’ | LandlordZONE.

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Mar
24

Gas Safe – Advice and suspension of Safety inspections

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As of the evening of 23rd March, Gas Safe expect to suspend Gas Safety inspections until they have more guidance.

“We anticipate that we will need to continue, but will confirm this soon, once we the guidance from Cabinet Office and HSE on what they need from the industry to support the nation.

The post Gas Safe – Advice and suspension of Safety inspections appeared first on Property118.

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Mar
24

I don’t disbelieve he can’t pay?

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I would just like to ask other landlords how they are responding to the tenants who say they cannot pay the rent this month due to the Coronavirus crisis?

I have had a tenant call me today to tell me that their income has more or less dried up and he’s going to be unable to pay his rent next week.

The post I don’t disbelieve he can’t pay? appeared first on Property118.

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Mar
24

Coronavirus Bill – Tenancy notices extended to 3 months

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SCHEDULE 29 of the Coronavirus Bill outlines government policy for Assured shorthold tenancy evictions. Click here to download the entire Bill.

It looks as if the only changes in the new bill are an extension of notice periods under the Housing act 1988 from 2 months to 3 months.

The post Coronavirus Bill – Tenancy notices extended to 3 months appeared first on Property118.

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Mar
24

Evictions court system on brink of closure, warns expert

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Guidance from Lord Chief Justice and soon-to-be enacted Coronavirus legislation both mean landlords have a very small window to complete ongoing evictions.

The
Section 8 evictions court system is continuing but is on the brink of being
shut down, Landlord Action has warned.

As we reported last week, Blackpool County Court was the first to follow the Lord Chief Justice’s guidance on court hearings and adjourn all new eviction proceedings.

It has now been followed by Wigan (pictured), Dartford, Medway and Barnet with others likely to follow today.

Most
possession hearings are dealt with as a block by individual courts on set days
and only last ten minutes each.

It
is usually not possible to hold these remotely, as cases cannot be individually
scheduled and legal teams would have to be made available at courts for tenants
to appear in person, should they wish to do so.

“We are aware that courts are now making individual decisions to vacate block hearings and adjourn ALL possession hearings,” says Paul Shamplina of Landlord Action.

“If
ever there was a time to try and engage with your tenant it’s now. Many tenants
are being laid off, so ask for some documentary proof of this.

Something
not nothing

“If
you can arrange to reduce the rent, then my recommendation is to get something
rather than nothing and sort out a payment plan and work with your tenant,
maybe hopefully sustain a better relationship which may lead to them staying
put long term.

“We
have been serving notices at Landlord Action, but any day now the courts will
stop issuing the claims when the planned three-month freeze become law.

The
government’s Health Protection (Coronavirus, Business Closure) (England)
Regulations 2020 are now before parliament, which include its evictions
extension proposals.

“During
this time, having an empty property is not ideal, as we do not know how long
this crisis will last and if a tenant has unfortunately caught the virus, they
should not face eviction,” says Shamplina.

“If a landlord is affected, they need to speak to their mortgage company as soon as possible to see if they can arrange a mortgage holiday to take the pressure off. We will come out of this, it is temporary.”

Read a guide to the evictions process.

©1999 – Present | Parkmatic Publications Ltd. All rights reserved | LandlordZONE® – Evictions court system on brink of closure, warns expert | LandlordZONE.

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Mar
24

Ban on evictions for commercial tenants who miss rent payments

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Commercial tenants who cannot pay their rent because of coronavirus will be protected from eviction, the government has announced.

Many landlords and tenants are already having conversations and reaching voluntary arrangements about rental payments due shortly but the Government recognises businesses struggling with their cashflow due to coronavirus remain worried about eviction.

The post Ban on evictions for commercial tenants who miss rent payments appeared first on Property118.

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Mar
23

BREAKING: insurers close doors to all new rent guarantee insurance policies

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Insurers agree that government’s three-month evictions ban, closing courts and a crucial clause in the policies makes selling any more untenable.

In a shock announcement the UK’s leading insurers and brokers have agreed that they are to close their doors to new business for rent guarantee insurance.

One broker has told LandlordZONE that in recent weeks there has been a nine-fold increase in enquiries from landlords seeking this type of insurance as the private rental market has faced the Coronavirus pandemic.

But a clause within these
rent guarantee policies means it is now impossible for new policies to be
issued.

That clause requires that, for
a policyholder to claim for rent guarantee protection, they must start eviction
proceedings against their tenant.

“In
light of the current Covid-19 situation insurers and brokers are concerned
about condoning landlords who take action against tenants for something that is
totally out of the tenant’s control, a statement from the insurance industry shown
to LandlordZONE says.

“Insurers and brokers will not be selling new
insurance policies which could have an adverse effect on the lives of tenants.”

Eddie Hooker, CEO of
Hamilton Fraser, points out that existing policies also have this clause,
requiring landlords to start eviction proceedings for the cover to kick in.

Over the next two to three
months the industry will be tackling the backwash from this announcement, which
makes claiming against a rent guarantee product difficult – the government recently
revealed that evictions are to be suspended until at least June and the court
system is rapidly shutting down, which will soon make eviction proceedings impossible.

©1999 – Present | Parkmatic Publications Ltd. All rights reserved | LandlordZONE® – BREAKING: insurers close doors to all new rent guarantee insurance policies | LandlordZONE.

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Mar
23

Lack of Government support for commercial Landlords?

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I am concerned that the Government has overlooked Corporate Landlords in its bail out provisions. It has effectively allowed our tenants the discretion to delay paying rents by removing the option of eviction and yet there is very little if any support financially for landlords that are incorporated.

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Mar
23

Repairs during Covid-19?

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Anyone know what is a landlords legal position if a tenant asks for a repair eg dripping tap, boiler problem etc during this pandemic?

I know that Local Authority repair teams for their stock social housing have been told they cannot go into residential properties.

The post Repairs during Covid-19? appeared first on Property118.

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