Can I share my commercial premises?
Can I share my commercial premises?
"I'm renting a commercial arcade and I'm lucky enough to have someone willing to share it with me by paying me a sum of money every month that will help me out. However, I want to keep the lease on my own. Can the landlord object to this transaction?
Gérard, Geneva
You are about to enter into a sublease.
This is only possible with the consent of your landlord, which must be in writing. The landlord may only refuse to give his consent in three cases listed exhaustively by law: if you refuse to inform him of the terms of the sublease or any subsequent changes to them, if the terms of the sublease appear to be unfair compared with those of the main lease, or if the sublease presents major inconveniences for the landlord.
To determine whether your sublet could be considered unfair, you need to compare the sublet rent with the main rent, taking into account any additional services provided, such as the fact that cleaning of the premises is included. You should also take into account any restrictions on use that you may impose on your sub-tenant, such as a ban on access to the kitchen. In principle, you should not make a profit from subletting, although a certain amount of tolerance is permitted, particularly in the case of furnished subleases.
Subletting may also appear abusive if it is not of the temporary nature intended by the legislator. If it is intended to be permanent and definitive, the lessor may refuse it, and if he only realises this later, he may terminate the lease.
A significant change in the use for which the property was leased may be refused by the lessor. Case law, for example, has ruled in favour of a landlord who objects to the conversion of part of a restaurant into a champagne bar. The profile of your sub-tenant can also be a major drawback if he or she does not comply with the conditions laid down in the main lease, for example if you have agreed that the premises will remain non-smoking. This may also be the case if the subtenant's business competes with another tenant's or the landlord's business, or is illegal or immoral. On the other hand, the long duration of the sublease is not a major drawback as long as it does not exceed the term of the main lease.
