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Landlord & Tenant – Solar Panels
Leases currently offered by utilities of a home owner’s roof space for the placement of solar panels are for a 25 year term (to be reduced to a 20 year term from 1st August 2012). This lease is a business tenancy within section 23 of the Landlord & Tenant Act 1954 and will be required to be “contracted out” i.e. so that there will be no right to a new lease at the end of the term. The home owner should seek independent legal advice on the notices to be served on the tenant, before the lease commences and also before the end of the term.
If there is a mortgage on the home, you will require the lenders consent to the lease and the lender may have a number of requirements to be incorporated into the lease.
NB – When you sell your home, your buyer’s lender will also need to approve the lease.
The lease will need to be registered at Land Registry.