Operating Covenant Analysis

Based on the provided context from the lease document, yes, there are operating covenants present in this lease.

Evidence of Operating Covenants

The document contains multiple references to covenants that the Tenant must comply with:

1. Tenant Covenants

The guarantee provisions in [Source 1] and [Source 2] explicitly reference:

• "the tenant covenants in this Lease"
• These covenants remain enforceable as long as the Tenant is not released by operation of law

2. Breach and Enforcement

[Source 3] specifically addresses:

• "enforcement or remedying of any breach of the covenants in this Lease on the part of the Tenant"
• This indicates there are substantive covenants that can be breached and enforced

3. Underlease Covenants

[Source 4] and [Source 5] reference:

• Requirements to obtain "covenants by deed from the underlessee"
• "underlessee covenants or conditions in an underlease"

Conclusion

While the specific operational obligations are not detailed in these excerpts, the document clearly establishes that tenant covenants exist throughout the lease that are:

• Legally binding
• Enforceable by the Landlord
• Subject to guarantee provisions
• Can result in breach and associated expenses

The complete lease would contain the detailed operating covenants referenced in these provisions.

Based on the lease document, the rent review is scheduled for the fifth anniversary of the Term Commencement Date.

Key Details:

Review Date: The document states in [Source 1]:

"The Yearly Rent payable under this Lease is to be reviewed on the fifth anniversary of the Term Commencement Date (the 'Review Date')"

Effect of Review: From the Review Date onwards, the reviewed rent (once agreed or determined) becomes the new Yearly Rent payable under the lease.

Type of Review: According to [Source 4], this is an "Upward only. Rent Reviews" based on the Market Rent of the Premises at the Review Date.

Note: The specific calendar date of the review would depend on when the Term Commencement Date is, which is not provided in these excerpts.

Current Rent

Based on the lease document, the current rent is £115,540 per annum exclusive of VAT.

Details:

• Amount: £115,540 per annum
• VAT Status: Exclusive of VAT (VAT not included in this figure)
• Review Mechanism: The lease includes an "Upward only" rent review provision, meaning the rent can only increase (never decrease) at review dates to the Market Rent if higher than the current rent

Note: This is the base rent figure specified in the lease. The actual rent payable may be subject to upward-only reviews at designated Review Dates as defined in the lease terms.