Private Professional Client
A shop unit located within a popular shopping centre with ground floor retail and upper floor store and staff area.
To advise our client as to the rental value of the shop and negotiate against the Landlord. The proposed rent reflected an uplift of 19% on the passing rent, which appeared excessive.
The first task was to establish if the quoting rent was reasonable and justified in line with other transactional evidence within the shopping centre. Substantial investigative work was required to get the ‘full picture’ behind the transactions provided by the Landlord’s representative.
After inspecting and measuring the premises, we prepared a full report setting out our opinion of the current market rental value of the property on the basis of letting, lease renewal and rent review evidence within the shopping centre. We determined that the location of the shop within the wider scheme was a less favourable position and adjustments were required to produce a rental value that was commensurate with its specific trading location.
After a period of negotiations with the landlord’s representatives, we were able to agree the review at a rent reflecting a 3% uplift on the passing rent, compared to the 19% that the landlord was seeking.
Testimonial from client:
“We have had several rent reviews over the years. Experience shows that being able to rely on a lease adviser willing to leave no stone unturned is essential to a commercially sound outcome. If it isn’t, then basically you end up working for the landlord. But everything must be done diplomatically, so that the other side are convinced that, “Well yes, that’s a fair result” and all parties can move forward on the basis of a constructive relationship. A top lease adviser is therefore absolutely essential. They can certainly be the difference between a successful business and one teetering on the edge of viability“.