Rent Review Valuations and Negotiations in Tunbridge Wells
landlord or tenant, we can guide you through every step of the rent review process
How much rent should I be charging? Or the question might be, how much rent should I be paying? For a commercial property, this is an important question and could be pivotal to an enterprise’s success, and for a landlord, whether they are maximising the return on their investment.
But the question of rent needn’t be answered by sheer guesswork or following the lead of others. At Olden Property, we prefer a more reliable approach to rent review which combines detailed analysis of the local property market, extensive negotiation experience incorporating the requirements of landlord and tenants.
Having trouble reaching a rent agreement? Need a third-party commercial rent review surveyor? olden property are here to assist
Olden Property acts for both landlords and tenants in commercial lease review and renewal situations throughout Tunbridge Wells and Sevenoaks. We offer an experienced, bespoke, professional service during rent renewal valuations and negotiation discussions. As we are not commercial property agents, we avoid the conflicts of interest experienced by other commercial agents and surveyors.
We are RICS Registered Valuers dedicated to acting in the best interests of our clients, both landlords and tenants.
RECEIVED NOTICE FROM YOUR LANDLORD THAT YOUR RENT HAS GONE UP?
You may have received notice from your landlord confirming your rent has gone up by 75%. After the initial shock, your first task is the read your lease. You will more than likely have the ability to challenge this increase and it is vital you do so. Your rent will be increased until the end of the lease as most leases are upward only (the rent will not decrease), so if the rent is increased by £15,000 per annum this could be a £75,000 increase over five years. This type of increase is difficult for any Tunbridge Wells or Sevenoaks business to manage. The truth is it might be that the rent should not be increased at all.
Olden Property will undertake a market rent valuation at the rent review date. If after a review of the local market evidence it is clear that the rent increase is to high, we will then negotiate on your behalf a more accurate market rent. Fees are calculated on a case by case basis and negotiation fees calculated on a percentage of the rent saved, if there is not rent saved, there is no fee.
Please get in touch if you have any questions regarding rent for a new lease, rent review or lease renewal situations.
We are RICS Registered Valuers dedicated to acting in the best interests of our clients.
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Commercial lease agreements contain provisions for a review of the annual rent at specified intervals during the term of the lease. These are agreed upon at the outset and are dependent on the length of the lease. Typically, they are every three or five years.
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Both landlords and tenants want to ensure that they are charging and paying the ‘going rate’ or a rent amount that’s in line with the current market value. Landlords want a return on their investment. Tenants want to protect their profits and future projections. A registered valuer can help to ascertain what the correct amount of rent should be.
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Unfortunately for tenants, rent reviews are nearly always upward so the best a registered valuer could do would be to agree an unchanged annual rent figure with the landlord.
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Just as the time intervals for reviews are agreed at the outset, so is the method of review. This ensures that there are no surprises for either party and due process is followed. The method of review is contained in the lease.
The rent review process involves the landlord’s and tenant’s representatives proposing their respective valuations and supporting market evidence in order to negotiate a settlement.
For more frequently asked questions on Commercial rent review click here
“If you are a business taking a new lease, renewing an existing tenancy or you have a rent review coming up, it is important to take advice from a valuer. Rent is usually the biggest quarterly outgoing for any business and it is important you are not over paying. Once rent is agreed, it is likely this cost will be fixed for three to five years so you need to be confident it is the correct market value.
The same goes for landlords in the same position, as a source of revenue, you need to ensure your property is rented to its true market potential.
Whether your property is a shop, office or industrial property Olden Property can provide you with an UpToDate market rent valuation and where required, negotiate the new rent on your behalf. ”
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