What Is A Lease Plan Survey?
Lease Surveys or lease plans are undertaken to measure the area of land or space within the walls of a building. This area forms the basis for determining the dollar value of the rental of the land/premises over the life of the lease. Many Leases are based solely on a per square metre value. It is therefore important to engage a registered Land Surveyor, not only to gain an accurate measurement, but to comply with the Land Titles requirements for long term and high valued leases. For these leases, the plan must be registered in the Titles Office in New South Wales.
Property Council of Australia Guidelines for Lease Surveys
The Property Council of Australia (PCA) provides guidance and recommendations on Lease Plan Surveys, also known as Building Owners and Managers Association (BOMA) surveys. Surveys can be done to the PCA definition or to any area definition given to Neilly Davies. In all cases we supply a written report and sketch showing the feature measured to, thus eliminating causes of dispute.
When do you need a Lease Plan Survey?
Any building or land lease that has a term greater than 3 years is considered a long term lease and it must be accompanied by a lease plan prepared by a Licensed Cadastral Surveyor. Any lease within a complex of more than 5 units must also include a master sketch showing the unit location within the complex.
Methods of Measurement for Lettable Area
It is recommended that the lettable area of a premise should be determined as a part of negotiations for a lease. The handbook “Method of Measurement” for lettable area is often used as the basis upon which surveyors measure floor space in leased premises. This booklet provides guidelines for the measurement of office buildings, retail shops, industrial warehouses, and other mixed use premises.
The method adopted depends upon the type of lease and this depends on the agreements between the owner and lessee and the negotiated terms of the lease.
For instance, the lease measurements may include the external face of walls, or in some cases may simply run to the internal face of the wall. Certain Purpose built facilities may or may not be included in the lease depending on the agreed terms.
The parties should decide which method should be used to determine the floor area.
- Gross Lettable Areas - used for calculating tenancy areas in warehouses, industrial buildings, free standing supermarkets and showrooms.
- Gross Lettable Areas (Retail) - used for calculating retail tenancy areas in shopping centres, commercial buildings, free-standing shops, semi detached or terrace type shops in suburban streets.
- Net Lettable Areas - used for calculating tenancy areas in office buildings and office and business parks.
Choose Neilly Davies for your Lease Survey
Our registered surveyors have prepared lease surveys for commercial and industrial clients including retail shopping centres, warehouses such as for large manufacturing operations, and many medium sized commercial leases.
If you would like more information about our lease plan and surveying services or to discuss your project in more detail, call us now on 1300 730 340.