Property management (3)

Question 1

Types of commercial leases?

Answer 1

FRI
IRI
ground lease

Question 2

FRI

Answer 2

• fully repairing and insuring lease
• tenant responsible for all repairs and maintenance
• landlord has minimal involvement in day-to-day upkeep
• tenant responsible for insurance
• usually no service unless it’s a multi-let and there are common areas

Question 3

IRI

Answer 3

• internal reapairing Insuring lease
• tenant responsible for minor repairs and internal upkeep
• landlord responsible for structural repairs and major maintenace ie. roof¨
• landlord responsible for building insurance which is often recharged to the tenant
• service charge common for communal areas

Question 4

Ground lease

Question 5

service charge

Question 6

What is the new RICS standard coming into force in Jan 2025?

Answer 6

RICS Global Professional Standard Property Agency and Management Principles, 1st Edition.