What Is A Make Good?
A ‘Make Good’ obligation is essentially what it sounds like. It is the tenant’s obligation, when reaching the end of the lease term, to ensure that they ‘make good’ the premises before leaving. This is a standard clause of most commercial leases requiring the tenant to return the property to the landlord in its original, clean and tidy state.
Make Goods exist in order to be fair to both parties when it comes to the make good works the tenant will be required to undertake. A well drafted Make Good clause will specify how certain areas and items will be handled at the end of the lease, making it clear for everyone. This may involve fit-outs installed by the tenant or ownership of certain items within the property. Ultimately, the Make Good clause contributes to a more seamless leasing process and avoids disputes between the tenant and landlord upon the end of the lease.
How Can BRM help?
Make Good Co. – a subsidiary of BRM Projects has been providing expert assistance to commercial tenants and landlords for over 15 years. A range of services may be needed when nearing the end of a lease. We offer:
Condition reports, which photograph and document the general and specific condition of the property, are necessary prior to lease commencement. A condition report can aid in avoiding disputes down the track and can give you and your client piece of mind during tenancy and handover.
Works Approval Process
It is common the for the lease to require a tenant to submit proposed plans and specifications to the landlord for approval of works. The works often involve the tenant’s own fit-outs and contractors. Make Good Co. will review the design for possible impact to the existing asset and advise on the process to ensure all approvals are sought from the required authorities.
Make Good Negotiation
Make Good Co. has been engaged by landlords, to assist with determining the scope and negotiating the handover of the premises.
Where works are required, we project manage and access a network of punctual and efficient commercial trades to meet the agreed scope.
We provide strategic advice on tenancy disputes, including expert witness reports and evidence, without prejudice conferences and mediations.
We advise at Federal, State and Council level including expert witness evidence and submissions to the Supreme Court, Magistrates Court and VCAT.
Are you a tenant or landlord that needs help with a Make Good Clause?
Get in touch with Make Good Co. today.
Visit our website at www.makegoodco.com.au
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