Rent Reviews and Lease Renewals
Every few years during a lease, the rent on a commercial unit will be subject to a rent review. During rent review proceedings, the Landlord will try to secure an increase in rental level and a tenant will try to keep the rent to a minimum. Rent reviews are governed by the terms of the commercial lease and by case law and are usually agreed by negotiation. However, if settlement can not be reached the review is determined by a third party surveyor usually elected by the Royal Institution Of Chartered Surveyors.
Lease renewals occur at the end of a commercial lease. The renewal is governed by the Landlord and Tenant act 1954 Part II. If agreement can not be reached by negotiation then the terms of the new lease are determined by the Courts.
Bearing in mind the complexity of proceedings and the specialist knowledge required to achieve a favourable result, we consider that it is essential that a Chartered Surveyor is appointed to represent either party. ANFord, Chartered Surveyors act on behalf of both landlords and tenants during rent review and lease renewal proceedings, in order to negotiate a favourable rental level.
We act on behalf of private landlords across a wide range of commercial property types in order to achieve the highest rental increase possible at review of renewal.
We also act on behalf of tenants of shops, restaurants, offices and mixed use units in order to minimise the rental increase at review of renewal.
Please contact us to discuss your requirements with us.