Draft or review a property licence agreement for commercial use of space

The answer often comes back to the nature of the occupation being granted. A property licence agreement is commonly considered where one party is being allowed to use premises in a more limited or controlled way, rather than taking on the fuller rights usually associated with a lease. That can arise with kiosks, concessions, treatment rooms, event areas, short-term commercial use or part-space arrangements. The factual setup still matters. If the real arrangement gives stronger possession rights than the label suggests, the wording alone may not settle the position.

A well-structured licence agreement will usually identify the area being used, set out the permitted activities, explain access arrangements, record the licence fee and payment terms, and cover duration and termination. It may also include restrictions on signage, storage, equipment, utilities, cleaning, security access and sharing with others. The right drafting depends on how the premises are being used in real life. For example, using part of a venue during trading hours raises different issues from using a room after hours or occupying a concession space inside another business.

Useful starting details include the property address, the parties involved, the exact area being licensed, the intended business activity, the proposed term, payment arrangements and any access limits. It also helps to know whether the use is exclusive or shared, whether there are site rules already in place and whether another property document affects what can be granted. If a landlord, managing agent or building operator has conditions that need to be worked around, those should be raised early because they can influence the structure and wording of the licence.

For a very basic arrangement, a template may help as a rough starting point, but commercial property use often turns on details that standard wording leaves vague. A licence for a market stall, salon chair, consulting room or concession area may need specific clauses on access windows, equipment use, branding, cleaning, shared facilities or short-notice termination. If the document does not reflect the actual occupation model, it can create uncertainty later about what rights were granted and what control the owner retained. Tailored drafting is often most useful where that distinction matters commercially.

No. The fixed-fee is for drafting or reviewing the property licence agreement itself, plus one amendment round. If the arrangement also requires landlord consent, building approval or another external decision, that sits outside this service. Approval depends on the relevant regulator or authority, and Where an external authority is involved, we will help you understand what may be needed for your situation.. We can identify where those issues appear relevant from the information provided, but obtaining approvals, dealing with third parties and managing a wider process would need separate support if required.

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