Managing a leased real estate
Restrictions on use
Tenants must abide by the permitted use set out in the lease agreement as well as the use as restricted under the Planning Act (Cap. 232), such as those in the Master Plan.
Leases typically limit the extent of or prohibit alterations or improvements to the demised premises. Structural repairs which involve alteration of the building's form and framework are usually not allowed. The landlord's consent should be sought prior to undertaking non-structural alterations.
Leases will either set out a fixed rent payable, or a mechanism to calculate the adjustable rent payable, for the entire duration of the lease term.
Taxes for rental
Stamp duty is payable on the lease agreement. The amount depends on the level of rent and the term of the lease. The Stamp Duties Act (Cap. 312) states that stamp duty is to be borne by the tenant.