ABSTRACT
The transaction requirements discussed in Chapter 2 need to be based on a full understanding of the legal and technical framework and appreciation of the implications of all terms. By understanding fully the choices available, the implications of each option and the costs, you will be in a position to develop an effective set of transaction requirements as a basis for the negotiations. This will enable you to maximize your negotiating strength and achieve the best possible transaction. This chapter touches on a range of transaction structures with a focus on leasing of the whole or part of a new or second-hand building. This is the area where many occupiers struggle because of the legal and technical complexity and the need for informed decision making. There are several alternatives to the basic leasing structure including purchase of a freehold or long leasehold interest, development of a bespoke building on a pre-let or purchase arrangement, finance and equity leases and other funding related structures. Reference will be made to these types of alternatives but the focus is on the terms of a leasing structure. Much of the advice and information contained in the chapter relating to this route can be adapted where alternative options are chosen.
