What are dilapidations?

Dilapidations refers to the condition of a tenanted property, during the lease and the claim to be made for putting back in order at expiry. Lease agreements outline the obligations that occupiers must follow to look after the property they have leased; repairs, decorations, reinstatement of alterations and how it is returned at the end.

A landlord should be compensated if the tenant has breached such clauses in a lease and caused the landlord to suffer a consequential ‘loss’ (e.g. a reduction in the reversionary value). So, it’s crucial to get these clauses working well to maximise your dilapidations claim.

Dismissing the process of dilapidations as just a haggle over the cost at the point of lease expiry can lead to compromises down the line when the time comes to negotiate; recovery of certain elements of your claim will be affected and the possibility of litigious action may increase.