The BBP Green Lease Toolkit: the industry standard
The Better Buildings Partnership (BBP) published its Green Lease Toolkit in 2013 and has updated it significantly in 2020 and 2023. The toolkit provides standard form green lease addenda and memoranda of understanding (MoU) that cover: tenant solar PV installation and ownership; metering and monitoring obligations; landlord access rights for asset management; reinstatement obligations at lease expiry; data sharing (smart meter data, generation data); and end-of-lease asset treatment options (buy-out, transfer, removal). Every major UK institutional logistics landlord — Prologis, Segro, GLP, Tritax Big Box, Blackstone Real Estate, British Land, LondonMetric — uses BBP-aligned green lease addenda as standard. Tenants on these leases have a well-understood consent pathway.
The landlord consent process: step by step
Step 1 — Initial notification (Week 1): Written notification to landlord's property manager / asset management team that you intend to install solar PV. Include: indicative system size (kW), mounting type (ballasted flat-roof, or fixed-point penetrating), structural engineer name, MCS installer identity. Step 2 — Structural survey and proposal (Weeks 2-4): Landlord typically requires sight of structural engineer's preliminary survey confirming roof loading is acceptable. Submit alongside your installer's indicative system design. Step 3 — Landlord review (Weeks 4-8): Institutional landlords (Prologis, Segro, GLP) have internal sustainability teams who review and approve. Standard approval process: 4-8 weeks from receipt of complete documentation. Smaller private landlords: 6-14 weeks (more variable). Step 4 — Licence to Alter (LTA) execution (Weeks 8-12): Legal execution of Licence to Alter or green lease addendum. Tenant's solicitor reviews LTA terms (reinstatement, assignment). Typical LTA legal costs: £2,000-£5,000 for tenant. Step 5 — G99 submission and installation (Months 3-14): G99 submitted immediately after LTA execution. Installation after G99 connection.
Reinstatement obligations: what to negotiate
The default position in many leases is that all alterations (including solar PV) must be reinstated at lease expiry unless the landlord elects otherwise. For solar PV, reinstatement is financially irrational (removing a system that adds asset value) — but the legal obligation exists unless specifically carved out. Key negotiation points: (1) Include a right for the landlord to elect to retain the system at lease expiry (standard in BBP-aligned addenda). (2) Cap reinstatement costs in the LTA at an agreed figure — or agree full waiver in exchange for asset transfer at nil cost. (3) For leases under 7 years remaining: PPA structure may be preferred (landlord retains system; tenant pays per kWh consumed — avoids reinstatement complexity entirely). We provide lease structure advice as part of our pre-installation commercial support.
Shorter leases: PPA vs ownership
Ownership (cash or asset finance) is optimal for: leases with 10+ years remaining; owner-occupiers; institutional property where reinstatement is unlikely to be enforced. PPA is often preferred for: leases 5-10 years remaining (PPA avoids reinstatement complexity and matches lease term); tenants who cannot access sufficient capex; buildings where the 3PL tenant changes frequently (PPA transfers more easily than a landlord-tenant solar ownership structure). Most national 3PL operators with institutional landlords have now standardised on PPA for leases below 8 years remaining. We structure both PPA and ownership installs and advise on the optimal structure for your lease.
Common questions
How long does institutional landlord consent take for warehouse solar?
Institutional landlords (Prologis, Segro, GLP, Tritax Big Box, Blackstone) with BBP-aligned green lease addenda: 4-8 weeks from receipt of complete documentation (structural survey, system design, MCS installer identity). Smaller private landlords: 6-14 weeks. We prepare the complete landlord consent package — structural survey, indicative system design, MCS credentials, draft green lease addendum — to minimise landlord review time.
What happens to the solar system at lease expiry?
Default position: reinstatement (removal) unless landlord elects otherwise. For BBP-aligned leases: landlord right to elect to retain system at lease expiry is standard. Negotiate: (1) landlord election to retain at nil consideration; (2) capped reinstatement cost; or (3) full reinstatement waiver. For shorter leases (under 8 years): PPA structure is often preferable — avoids reinstatement complexity and matches lease term.