Make good is the process through which a landlord requires a tenant to comply with the repair and yield up obligations they agreed to when signing their lease – in other words, to “make good” on the promises they have made.
Although the make good process is most commonly undertaken towards the end of a lease, the landlord can exercise a repair / maintain right under the lease at any time during the term. Some lease obligations only apply at certain times (e.g. to vacate the premises at the end of the term) whilst others (e.g. to keep the premises clean) apply throughout the term.
It is open to the landlord to obtain a Make Good Report from a property professional. This type of report is intended to formalise what obligations the tenant is expected to meet and essentially constitutes a claim for alleged breach of contract.
Mansfield Property Advisory Make Good Reports include;
A detailed schedule of the alleged breaches of lease covenants
Details of the remedial works required to remedy the alleged breach
An estimate of the cost of completing the remedial works identified
Details of any other damages sought in connection with the alleged breaches
“Even if he were under no repairing obligation he would, in my opinion, be liable for disrepair caused by negligent treatment of the demised premises.”
MPA can assist landlords and tenants with make good advisory services throughout the lease cycle including;
Make Good Interim Schedule – during the term of the lease to identify outstanding repair and maintenance obligations
Make Good Interim Assessment – during the term of the lease to define potential liability at lease expiry
Make Good Terminal Schedule – prior to lease expiry to define liability at lease expiry and initiate negotiation and remediation works
Make Good Final Schedule – after lease expiry when the tenant is no longer in occupation with an opportunity to undertake remedial works
Make Good Negotiations – MPA can act as an independent negotiator helping to achieve an optimum outcome whilst maintaining positive landlord and tenant relations
Make Good Project Management – MPA can project manage make good works for the landlord or tent
Make Good Forecast (AIFRS) – for accounting purposes to define make good and / or asset management plans