The landlord covenants and agrees, from and after the date hereof and so long as this lease shall be in effect, not to lease, rent or occupy any part of the Shopping Center premises for the consumption of food and drinks

Your restaurant is located in a medium sized shopping centre that is owned by Goodprice Pty Ltd, a family owned company. You have a 5 year lease and have so far been in occupation for 18 months. You have always had a good relationship with the landlord; however, there are a few matters that you are seeking some advice about.

TASK 1
At the last inspection the property manager for Goodprice remind you that the landlord has included in the lease a term that you are required to install new extractor fans in the ceiling above the ovens to minimise smoke damage to the ceiling.
Discuss whether the extractor fans are fixtures and, if so, can they be removed by you at the conclusion of the tenancy.
TASK 2
The lease contains the following term:
5.1 The landlord covenants and agrees, from and after the date hereof and so long as this lease shall be in effect, not to lease, rent or occupy any part of the Shopping Center premises for the consumption of food and drinks.
You have just been informed that Goodprice Pty Ltd intends to lease a shop in the complex to another café.
Explain the nature of the term in the lease and why it has been included?
What action would you be advised to take in relation to this term?

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