Commercial Property Alterations UK: Tenant Rules

Overview

Alterations to commercial property cover any physical change a tenant wants to make to the premises they occupy under a business lease. That might be something structural like knocking through an internal wall, something cosmetic like repainting and installing new signage, or something in between such as fitting out a new kitchen in a restaurant unit or adding partitioning in an office.

The legal framework here is built on three layers. First, the lease itself, which will typically contain an alterations covenant setting out what a tenant can and cannot do. Second, the general law, including the Landlord and Tenant Act 1927, which affects how a landlord can respond to certain consent requests.

Third, public law requirements such as planning permission, building regulations approval and any sector-specific rules that apply to the type of business being run from the premises. A tenant usually has to satisfy all three before works can lawfully go ahead.

Key steps

1. Read the alterations clause in your lease carefully. Commercial leases tend to split alterations into categories, often prohibiting some works outright, allowing others with landlord consent, and permitting minor non-structural changes without permission. Identify which category your proposed works fall into before doing anything else, because this shapes every step that follows.
2. Apply to your landlord for consent in writing. Where consent is needed, send a clear written request describing the works, ideally with plans, specifications and details of your contractor. A formal application helps fix the timeline and gives the landlord what they need to decide, which is useful if you later need to argue that consent has been unreasonably withheld or delayed.
3. Agree the terms of a licence to alter. If your landlord is content in principle, the works are usually formalised through a licence to alter. This document records what you are permitted to do, any conditions attached, and crucially whether you must reinstate the premises at the end of the term. Negotiate reinstatement carefully, because it can be expensive.
4. Check planning, building and other public consents. Alongside landlord consent, consider whether planning permission is needed (particularly for changes of use or external alterations), whether the works require building regulations approval, and whether listed building or conservation area rules apply. Licensed premises and food businesses may need further sign-offs too.
5. Carry out the works and keep records. Use competent contractors, keep copies of certificates, warranties and sign-offs, and make sure the works actually match what was approved in the licence to alter. At lease end, this paper trail can make the difference between a clean exit and a dilapidations dispute.