In a lease, the 'User' clause specifies what?

• A. Rent review mechanism
• B. Permitted use of the property
• C. Insurance obligations
• D. Assignment rights

Answer: (B)

The key idea here is that a user clause defines what activities the tenant is allowed to carry out in the property. It specifies the permitted use (for example, the type of business or purpose) and often restricts other uses unless the landlord authorizes a change. This helps protect planning permissions, the building’s character, and the landlord’s overall interests by preventing uses that could cause nuisance or disruption.

That’s why the correct answer states it specifies the permitted use of the property. Rent review relates to how rent changes over time, insurance obligations deal with who arranges and pays for insurance, and assignment rights cover transferring the lease to another party. These are different aspects of a lease, not the use restrictions.