Commercial Property Rent reviews.
Getting the very best results for our clients involves utilising our extensive technical knowledge of the Rent Review process from start to finish. This requires an ability to carefully interpret a lease, apply an intricate understanding of Commercial Property Law and carefully understand factors affecting value to skilfully negotiate the desired outcome.
The Lease Advisory team at Aequitas Estate Management Limited are well experienced in dealing with Rent Reviews both throughout the UK and more locally close to our base in Stockport in all property sectors acting for both landlords and tenants.
We have a particular specialism within the roadside automotive and trade counter sectors, respected by our peers throughout the UK. Whether you are landlord or tenant you be assured that we can give you the very best advice from start to finish.
Our service includes:
- A thorough interpretation of the lease by a Chartered Surveyor
- The inspection and measurement of your premises in accordance with the RICS Code of Measuring Practice
- Preparation and submission of a Rent Review Strategy Report including photographs, an OS extract plan, a summary of the lease terms and a rental assessment and recommendation
- Advice on serving the most appropriate appopriate Rent Review Notice or Counter Notice
- Robust rent review negotiations on behalf of our clients to optimise results
- Recommending agreement to our clients and dealing with all the appropriate documentation including preparation and completion of a rent review memorandum
Information for tenants.
If you are a tenant and a landlord has served a Rent Review Notice, then it is vitally important that you take professional advice to ensure that the agreed rent is a fair market rent and not the rent that is proposed within the Rent Review Notice. It is essential that a Counter Notice is served in response to the Rent Review Notice in accordance with the terms of the lease. Although the Landlord may claim that the rent proposed in the Rent Review Notice is a fair market rent, it is invariably his/her inflated opinion of the market rent and an initial negotiating position that needs to be proved and challenged when appropriate.
If there is a Time of the Essence clause within the Rent Review clause, and a correct Counter Notice has not been served in accordance with the terms of the lease, then the rent may well be fixed at the rent quoted in the Landlord’s Rent Review Notice at an artificially high level. The agreed rent will be fixed until the next rent review, so it is therefore essential that a fair market rent is agreed. By way of example, if a saving of £5,000 per annum is made from the Landlord’s rental proposal this will save the tenant £25,000 in total over a 5-year period until the next rent review, (based on a 5 yearly rent review pattern). It is very important to get the right advice to get this right.
