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We make sure you get the best possible terms on your upcoming Rent Review.

Looking for advice on your upcoming Rent Review?

Call us on 020 7993 8075 or complete the form below and one of our surveyors will contact you shortly.

    We can negotiate your rent review to get you the best possible terms

    We specialise in offering professional advice and guidance on all aspects of commercial property. A significant proportion of our work involves assisting businesses with the rent review clause in their lease. Not every lease will have a rent review clause, and types of rent reviews can differ. Clauses can be extremely varied and oftentimes, unclear, which is why it is important to have a professional look over your rent review clause and advise on the aspects that it includes. Some important aspects to consider are as follows.

    Frequency of Rent Reviews

    Typically, a lease will have rent reviews every 5 years. It is possible to have reviews more or less frequently, but this would have been negotiated before a lease is taken. A lease of 5 years or fewer, would not typically contain a rent review, but this is dependant on the deal agreed.

    How a rent review is decided

    The landlord cannot just name a figure and decide to charge whatever they want. A rent review clause will usually state that it is an “open market” review. This means that the landlord will need to have comparable evidence for any rent review. This evidence will need to show the rents achieved in comparable properties which are similar in size/area/arrangement. This ensures that the rent review is fair for both parties.

    It is important to also provide your own contrary evidence, as the landlord will typically provide evidence of the most expensive comparable deals they can find.

    Upward Only Rent Reviews

    An upward only rent review means that the rent cannot go down if market rents are in decline at the time of the review and will not be set at less than the then current rent. Many (but not all) rent reviews will be upward only. Although the rent cannot go down, if comparable evidence shows that market rents are in decline, or have stayed consistent, that your rent could stay at the same level, instead of increasing.

    If your rent review clause does not state that it is “upward only” it is possible that your rental figure could decrease if the open market review evidence shows that it should.

    Lease Breaks

    Dependent on your alienation rights, it is very unlikely you will have the right to break your lease if you are not happy with the outcome of the rent review, as this would give the lessee a significant advantage in the negotiation, which is why it is important to properly interpret your break and rent review clauses.

    Triggering the Rent Review

    A rent review does not necessarily need to be triggered on the exact date specified in the lease, the landlord could wait for the market to pick up before triggering the clause, leaving you owing backdated rent. The rent review can be triggered by either the landlord or the tenant, we can advise on what we think the best options are for you in the current financial climate.

    Covid-19 and its Impact on Rent Reviews

    Covid-19 has inevitably had a significant impact on London’s office market. Over the past few months, the level of demand for office space has fallen significantly. And while the government is planning a phased return to work, there is evidence of falling rents across all London sub-markets.

    The uncertainty over the true impact of coronavirus on the office market makes preparing for a rent review exceptionally difficult. With minimal comparable transactions and only a few months of data to show how covid-19 is impacting rental levels its vital you consider your options carefully. While it is impossible to provide certainty in this period, as part of our rent review service, we can discuss and negotiate all possibilities with your landlord.

    Our Services in Negotiating a Rent Review

    – We have access to the comparable transaction data
    – With a vast knowledge of the office market, we have in-depth knowledge of the current market, pricing, and available deals
    – We can interpret your clauses for you and advise on the best course of action
    – We can negotiate the review with your landlord
    – We can explore any and all other available options available to you according to your break clauses and alienation rights

    Contact us today to discuss your lease renewal or if you require general guidance on the current market and the impact that covid-19 is having.


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