Tenant Arrears, Planning for All Eventualities – UK
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Case Study

Tenant Arrears, Planning for All Eventualities – UK

November, 2025

Tenant Arrears, Planning for All Eventualities – UK

In late 2024, Hellier Langston’s Property Management team was tasked with navigating a complex tenant arrears situation for a long-term private client. The challenge involved balancing legal action with the possibility of a lease assignment, all while safeguarding the client’s financial interests.

The Requirement

The client instructed Hellier Langston to coordinate forfeiture proceedings against a tenant following unsuccessful negotiations to assign their lease. The primary objective was to recover possession of the premises, with the secondary aim of recovering the arrears owed.

The Solution

Leveraging the strong relationship built with the tenant over time, the Property Management team quickly identified that the tenant had sourced an alternative assignee willing to offer a premium for the lease. Key considerations included the protected status of the tenancy, the tenant’s financial difficulties, and the significant arrears.

After consultation with the client, Hellier Langston recommended progressing the assignment alongside the forfeiture proceedings as the most effective strategy to maximise the outcome. A suitable litigation specialist was appointed to manage the forfeiture proceedings, and the Property Management team prepared the Heads of Terms for the lease assignment.

Ongoing communication between the client, tenant, assignee, and legal teams was maintained to manage both paths simultaneously. Ultimately, forfeiture proceedings were postponed to allow the lease assignment to complete successfully.

The Outcome

The Property Management Team secured a new tenant on a longer lease with stronger financial security, ensuring stability for the landlord. All arrears, including interest and the landlord’s legal and professional fees, were fully recovered from the outgoing tenant.

Team

Property Management: Zoe Haris

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