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GREEN LEASE TOOLKIT

  • USING THE TOOLKIT
  • ABOUT GREEN LEASES
  • GREEN LEASE CLAUSES
    • Introduction to Legal Drafting & Definitions
    • Co-operation Provision
    • Building Management Group
    • Social Impact
    • Sustainable Use
    • Data Sharing
    • Metering
    • Smart Buildings
    • Extending the Landlord's right to do works
    • Restrictions on the Landlord’s right to do works
    • Addition to clause governing Tenant’s alterations
    • Expansion of the Tenant’s ability to do alterations which Improve the Environmental Performance or EPC Rating
    • Energy Performance Certificates (EPCs)
    • Recycling of Waste
    • Yield Up
    • Circular Economy Principles for Landlord and Tenant Works
    • Dispute Resolution
    • Standards
    • Renewable Energy
    • Rent review - open market
    • Service Charge
  • GREEN LEASE ESSENTIALS
  • HEADS OF TERMS GUIDANCE
  • OWNER & OCCUPIER ENGAGEMENT
  • CASE STUDIES
  • USEFUL RESOURCES
  • TOOLKIT GOVERNANCE
  • TOOLKIT FEEDBACK
  • QUICK DOWNLOAD: ALL DOCUMENTS

GREEN LEASE CLAUSES

This section is the backbone of the toolkit and is focused on stakeholders involved in the negotiation of lease terms. For each clause it includes:

  • Statements of Intent – an overview of what each clause is designed to achieve, providing flexibility for the owner and occupier to draft the specific wording of the clauses appropriately, but with a shared understanding of the intent behind them. 
  • Legal Clauses – providing the specific wording that can be incorporated within the lease these can be copied and utilized directly or amended whilst seeking to maintain the ‘intent’ behind each clause. The takes into account the Model Commercial Lease Framework, making the leases easy to integrate into standard leasing practice. For some clauses there are light, medium and dark green options, enabling owners and occupiers to reflect their sustainability ambitions in both general terms and specific to the asset for which the lease is being negotiated (e.g. age and nature of the Building, whether it is single or multi-let, and the proposed use of the Premises).
  • Drafting Notes – providing guidance and notes on drafting the clauses, highlighting where the drafting may need to be adapted for specific circumstances, types of lease or assets. They enable the owner and occupier to consider where they are in their green lease journey to frame the clauses appropriately.

The clauses have been drafted to make their adoption as straight-forward as possible:

  • Clauses have been aligned to fit easily into the Model Commercial Lease – making the green clauses easier to integrate into standard leases.
  • The clauses can be used across a wide range of asset types - over time the BBP will increase sector-specific guidance as common and best practice emerges and examples of successful clauses can be signposted. 
  • The clauses have been reviewed for applicability across the UK, downloads of legal clauses for Scotland and Ireland can be found here. 

The draft clauses and accompanying notes are a guide to the key issues. They are not designed to be a substitute for legal advice. When considering a new lease or on lease renewal, the BBP suggests that parties discuss with their advisers the scope and ambition of their lease and the extent to which they will adopt and/or amend the draft clauses provided in this toolkit.

The idea of “statements of intent” came from the BBP Green Lease Toolkit Steering Committee who referred to the Green Lease Leaders Landlords Reference Guide. This is a US Guide for a rating system for green leases. Here you will see at the top of each section it includes an “intent” section.  Sometimes these can be quite broad. For each clause the Green Lease toolkit Legal Working Group produced is a statement on a suggested minimum level of acceptable green lease clause which reflects what should be generally achievable with reasonable ambition. 

It is possible that sustainability and environmental issues will also be addressed in other documents which affect the relationship between the parties, such as any Tenant’s fit out handbook, Landlord’s regulations or Building handbook which the Tenant may covenant to observe. The parties should ensure that the draft clauses are consistent with these documents.

Warren Gordon, Real Estate Senior Professional Support Lawyer, CMS: "I am a member of the Legal Working group focusing on the drafting of the Cooperation and Building Management/Sustainability Model Form clauses in the toolkit. The new selection of green lease clauses, in light, medium and dark green alternatives, offers invaluable standardised drafting for the property industry."

  • Download All

    Download All

    Download all documents here
  • Definitions

    Definitions

    Read more about Definitions here
  • Cooperation Provision

    Cooperation Provision

    Learn more about cooperation provision here
  • Building Management Group

    Building Management Group

    Find out more about Building Management here
  • Social Impact

    Social Impact

    Read more about Social Impact here
  • Sustainable Use

    Sustainable Use

    Read more about Sustainable Use here
  • Data Sharing

    Data Sharing

    Find out more about Data Sharing here
  • Metering

    Metering

    Find out more about Metering here.
  • Smart Buildings

    Smart Buildings

    Read more about Smart Buildings here
  • Extending the Landlord's rights to do works

    Extending the Landlord's rights to do works

    Read more here
  • Restrictions on the Landlord's rights to do works

    Restrictions on the Landlord's rights to do works

    Read more here
  • Addition to clause governing Tenant's alterations

    Addition to clause governing Tenant's alterations

    Find out more here
  • Expansion of the Tenant’s ability to do alterations

    Expansion of the Tenant’s ability to do alterations

    Find out more about Tenant Alterations here
  • Energy Performance Certificates (EPCs)

    Energy Performance Certificates (EPCs)

    Read more on EPCs here
  • Recycling of Waste

    Recycling of Waste

    Find out more about recycling of waste here
  • Yield Up

    Yield Up

    Read more here
  • Circular Economy Principles for Landlord & Tenant Works

    Circular Economy Principles for Landlord & Tenant Works

    Find out more about Circular Economy Principles here
  • Dispute Resolution

    Dispute Resolution

    Find out more about Dispute Resolution
  • Standards

    Standards

    Read more about Standards here
  • Renewable Energy

    Renewable Energy

    Find out more about Renewable Energy here
  • Rent Review - Open Market

    Rent Review - Open Market

    Read more here
  • Service Charge

    Service Charge

    Read more about Service Charge here

GREEN LEASE TOOLKIT

  • USING THE TOOLKIT
  • ABOUT GREEN LEASES
  • GREEN LEASE CLAUSES
    • Introduction to Legal Drafting & Definitions
    • Co-operation Provision
    • Building Management Group
    • Social Impact
    • Sustainable Use
    • Data Sharing
    • Metering
    • Smart Buildings
    • Extending the Landlord's right to do works
    • Restrictions on the Landlord’s right to do works
    • Addition to clause governing Tenant’s alterations
    • Expansion of the Tenant’s ability to do alterations which Improve the Environmental Performance or EPC Rating
    • Energy Performance Certificates (EPCs)
    • Recycling of Waste
    • Yield Up
    • Circular Economy Principles for Landlord and Tenant Works
    • Dispute Resolution
    • Standards
    • Renewable Energy
    • Rent review - open market
    • Service Charge
  • GREEN LEASE ESSENTIALS
  • HEADS OF TERMS GUIDANCE
  • OWNER & OCCUPIER ENGAGEMENT
  • CASE STUDIES
  • USEFUL RESOURCES
  • TOOLKIT GOVERNANCE
  • TOOLKIT FEEDBACK
  • QUICK DOWNLOAD: ALL DOCUMENTS
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