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What are service charges?

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What are service charges?


In addition to rent, there are certain other regular payments that you as tenant may need to make to the landlord. Particularly where you occupy only part of a larger building, the landlord may charge you a portion of the cost for services that he or she supplies for the building as a whole: maintenance of common parts, decoration and maintenance of the exterior of the building and the like. This will generally be described as a ‘service charge’. It is important to ensure before signing the lease that you understand the basis on which service charges will be calculated and the sums likely to be involved.

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