Does the Occupational Rent include Water and Electricity Consumption or not?

Property practitioners must take special care to note the wording of the sale agreement’s occupational rent clause.

Often the situation arises that the seller is under the impression that the purchaser will be billed separately for water- and electricity consumption from date of occupation. This is, however, not often the case.

If the occupation clause does not specifically state that the purchaser is liable to pay the water and electricity consumption, the occupational rent amount is then considered to be “all inclusive”.   Should the seller require that utilities be paid by the purchaser, the  clause must be amended accordingly or keep the consumption in mind during the negotiating process with regards to the amount occupational rent payable.