Whether you are a Landlord or a Tenant we will be able to advise you and negotiate the best rent possible. Prior to any negotiations we will provide unbiased advice on the likely outcome. We ensure that each rent review is thoroughly researched and as Chartered Surveyors we have an expert knowledge of the latest case law.
Savoy Stewart employ the latest computer “packages” to assist us in our research.
Outlined below is a brief resume to the Rent Review procedure.
1. The machinery governing the conduct of the Rent Review will be set out in the Lease of the premises.
2. The Lease will state the date on which the review of rent is to have effect and if and when the Landlord must serve a formal Notice on the Tenant calling for the review.
3. The Lease may contain a specific requirement for the Tenant to serve a counter notice in response objecting to the Landlord’s proposal.
4. There may be time constraints that need to be adhered to in points 2 and 3 above.
5. The basis upon which the rent is to be calculated will be set out in the Lease. It is normally an assessment of what the premises would let for in the open market on similar terms to the actual Lease. There can however be particular aspects which will affect the quantum of rent for instance the identification of tenant’s improvements.
6. Subject to the parameters set out in the Lease, the rental will normally be based on rents recently agreed for “similar” property adjusted to take into account any physical differences or variations in Lease terms.
7. If the Landlords’ and Tenants’ agents are unable to reach agreement, the matter is usually referred following the appropriate application, to an Arbitrator or Independent Expert.
8. Once the rent is determined it is legally binding on both the Landlord and Tenant. It can only be appealed via the Courts of Law and there are very few grounds of appeal.
9. At the conclusion of the negotiations, the Lease will normally require the Parties to sign a rent review memorandum recording the Agreement.
10. The assessment of the revised rent is a highly specialised procedure. There is much at stake for both the Landlord and the Tenant and the parties should be professionally represented throughout by an experienced and qualified Chartered Surveyor specialising in Rent Review negotiations.
There are many “pitfalls” and “traps” to be avoided so you need to speak to us at least 6 months in advance of the Rent Review date: