It depends on how you buy. In an asset purchase, the lease on the premises usually has to be transferred to you, which normally needs the landlord's consent. In a share purchase, the lease stays with the company you're buying.
Asset purchase
- The lease is assigned from the seller to you or your company.
- The landlord's consent is usually needed, and they may ask for references, a rent deposit or a guarantee.
- Allow time: getting consent can hold up completion.
Share purchase
- The lease stays with the company, so no assignment is needed.
- Check for change-of-control clauses that need the landlord's agreement anyway.
What to check either way
- how long is left on the lease, and any break clauses
- the rent, and when it's next reviewed
- who's responsible for repairs
- whether the lease can be renewed
Why lenders care
A business's premises often matter to its future. Lenders usually want comfort that the lease is secure for at least the term of the loan.
Get advice
Your solicitor should review the lease as part of due diligence.
Last reviewed: 8 October 2026