---
title: "Heads of terms (HOT) — Class A Atlas glossary"
description: "UK / EU equivalent of the Letter of Intent."
canonical: https://classa.info/glossary/heads-of-terms
pageType: glossary
lastUpdated: 2026-04-01T00:00:00.000Z
license: "CC BY 4.0 with attribution to Class A Atlas (https://classa.info)."
---

> UK / EU equivalent of the Letter of Intent.

## TL;DR

- UK / EU equivalent of the Letter of Intent.
- Heads of terms are the agreed (typically non-binding) summary of deal terms.

# Heads of terms (HOT)

*Lease structure · UK, EU*

## Short definition

UK / EU equivalent of the [Letter of Intent](/topics/class-a-lease-negotiation).

## Full definition

Heads of terms are the agreed (typically non-binding) summary of deal terms. Forms the basis for solicitor-drafted lease documentation. Same negotiating principle as the US LOI: the document carries weight in subsequent drafting.

## Why this matters for Class A leasing

Heads of terms (HOT) is part of the lease structure vocabulary that institutional [Class A](/glossary/class-a) occupiers, landlords, and advisers use across UK, EU markets. Understanding it correctly affects how you read lease documents, model occupancy economics, and benchmark deal terms across cities. Class A Atlas tracks regional variation alongside the global standard so [cross-border](/topics/cross-border-expansion) occupiers can translate quickly.

## See also

- [LOI (Letter of Intent)](/glossary/loi)

## Related guides

- [Decoding a London lease: FRI, dilapidations, break clauses](/guides/uk-lease-glossary-fri-explained)

---

Citation: Source: Class A Atlas (https://classa.info/glossary/heads-of-terms), updated 2026-04-01T00:00:00.000Z.