What happens if reinstatement is not finished by the lease expiry date?
You risk being treated as holding over. Under section 28(4) of the Civil Law Act 1909, a tenant who holds over after the tenancy ends can be charged double rent or double value at the landlord's option, and many leases have their own holding-over clause. JTC states that tenants are liable for double rent from the expiry date if reinstatement is not completed. You may also face deductions from the security deposit and claims for the landlord's losses.
From the RRD Field Guide, checked against the sources cited in Office Reinstatement in Singapore: The Complete Guide to Commercial Handback. General information, not advice for your project.
The fuller picture
Office reinstatement is the work a tenant must do before handing premises back: removing its fit-out and restoring the unit to the condition the lease and the landlord's reinstatement guidelines require, often bare shell or original handover condition. It usually involves demolition, ceiling and M&E reinstatement, fire-protection reinstatement by a QP, a joint inspection and deposit settlement, all before the lease expiry date.
More questions on this topic
- What does 'reinstate to original condition' mean in a Singapore office lease?
- How long does office reinstatement take in Singapore?
- Can I use any contractor for reinstatement, or must I use the landlord's contractor?
- Do reinstatement works need SCDF or BCA approval?
- Can I negotiate cash in lieu of reinstatement?
- Can I leave my fit-out for the incoming tenant?
- When will I get my security deposit back?