My lease is coming to an end and I have heard nothing from my landlord, what should I do?

Published on: 24th November 2015

Unless excluded from the Landlord and Tenant Act 1954 a tenant of business premises in England and Wales is automatically entitled to the grant of a new lease. The landlord may however re-open negotiations under the act but they may not do so earlier than the final 12 months of the current lease.

If neither party initiates the process then the tenant will continue to hold over following the expiry date, on the terms of the current lease and at the current rent. It is important to note however that the landlord may not have contacted you as they are aware that due to market conditions your rent would be lowered.

In a recent example Sanderson Weatherall acted for a tenant of retail premises in a large northern town previously held on a 10 year lease without breaks at a rent of £58,000 per annum. we were able to agree terms for a new lease for 5 years with a tenant break option at the 3rd year at a reduced rent of £43,000 per annum, saving the tenant a minimum of £45,000 up to the break option or potentially £75,000 over the 5 year term if the break option is not exercised.

Not every case will result in a rent reduction but it is suggested that employing a surveryor to act on your behalf will ensure you do not end up paying more than market value. This might otherwise occur if your landlord is professionally represented and you are not.  It is also important to understand that once formal procedures are instigated under the Act the tenant can still lose its security of tenure if it does not comply with the deadline set out in the notice. Having a Chartered Surveyor instructed to act for you will also safeguard against the possibility of this happening.

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Lease Consultancy

Sanderson Weatherall’s Lease Consultancy team are leaders in the field. We are expert negotiators in rent and lease terms for all forms of commercial properties across the UK. Our knowledge of the property market and experience in dealing with complex tenancy agreements allows us to deliver top results for you, no matter how big or small your business is. Our understanding of business and people also means we’ll work with you to achieve the best result, without damaging your relationship with your landlord or tenant. The Lease Consultancy team are able to offer: Lease Audits We will analyse your leases and identify, critical dates and liabilities leading to the creation of a comprehensive lease database. This will simplify your processes and avoid key dates and obligations being overlooked. Lease Renewals & Restructuring We will undertake a strategic review and inspection of your property portfolio and identify opportunities to rationalise or restructure leases, and reduce your costs by reviewing future lease events and potential liabilities. Rent Reviews We act on your behalf on the negotiation of rent and lease terms to obtain the best possible outcome. Dispute Resolution Our highly experienced lease consultancy team will represent you at Court and Arbitration and have a wealth of experience in the preparation of Expert Report and Replies to Independent Experts and Arbitrators. Members of the team are also frequently appointed by the RICS to act as arbitrators, Independent Experts and Mediators. Strategic Property Due Diligence Advice We provide detailed rental advice if you are considering acquiring property or businesses with existing leasehold liabilities. Contact Us

Read More....

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Sanderson Weatherall’s Lease Consultancy team are leaders in the field.

We are expert negotiators in rent and lease terms for all forms of commercial properties across the UK. Our knowledge of the property market and experience in dealing with complex tenancy agreements allows us to deliver top results for you, no matter how big or small your business is.

Our understanding of business and people also means we’ll work with you to achieve the best result, without damaging your relationship with your landlord or tenant.

The Lease Consultancy team are able to offer:

Lease Audits

We will analyse your leases and identify, critical dates and liabilities leading to the creation of a comprehensive lease database. This will simplify your processes and avoid key dates and obligations being overlooked.

Lease Renewals & Restructuring

We will undertake a strategic review and inspection of your property portfolio and identify opportunities to rationalise or restructure leases, and reduce your costs by reviewing future lease events and potential liabilities.

Rent Reviews

We act on your behalf on the negotiation of rent and lease terms to obtain the best possible outcome.

Dispute Resolution

Our highly experienced lease consultancy team will represent you at Court and Arbitration and have a wealth of experience in the preparation of Expert Report and Replies to Independent Experts and Arbitrators.

Members of the team are also frequently appointed by the RICS to act as arbitrators, Independent Experts and Mediators.

Strategic Property Due Diligence Advice

We provide detailed rental advice if you are considering acquiring property or businesses with existing leasehold liabilities.

Contact Us

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National lease consultancy service expansion

We are now able to offer clients an enhanced, nationwide lease consultancy service thanks to our expanding office network across the UK.  Our lease consultancy team deals with rent reviews, lease renewals and lease re-gears on all types of commercial property throughout the UK and is managed by Leeds-based head of lease consultancy, David Rastrick, supported by partners Fiona Rowland and Stephen Jefferies.  In Manchester the team is led by Kim Murray, with Aidan King in Birmingham, Andrew Udall in London, Anthony Turner in Bristol and Shona Baxter in the Newcastle.

Read More....

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We are now able to offer clients an enhanced, nationwide lease consultancy service thanks to our expanding office network across the UK. 

Our lease consultancy team deals with rent reviews, lease renewals and lease re-gears on all types of commercial property throughout the UK and is managed by Leeds-based head of lease consultancy, David Rastrick, supported by partners Fiona Rowland and Stephen Jefferies.  In Manchester the team is led by Kim Murray, with Aidan King in Birmingham, Andrew Udall in London, Anthony Turner in Bristol and Shona Baxter in the Newcastle.

[fulltext] =>

Commenting on the expanded lease consultancy service, David Rastrick said: “Our ability to offer our dedicated lease consultancy service across our expanding office network is a real advantage to our clients.  We have a very experienced close-knit team which works very well together and our aim is to offer the same high quality of service to clients wherever they may be geographically.”

We are already reaping the benefits of the expanded team, with nationwide clients such as Speedloan Finance appointing Sanderson Weatherall to oversee its entire UK property portfolio.

David added: “The instruction by Speedloan Finance to review and restructure its Albermarle & Bond and Herbert Brown leasehold portfolio is a good example of collaboration between our regional offices and the lease consultancy teams working closely to offer a nationwide service.  We were able to deliver on a brief that covered 130 properties across the UK with great success and with the newly expanded office network in place we look forward to continuing to grow this offer.”

Contact Us

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My landlord is increasing my rent, what can I do?

The problem - My landlord has sent through a letter to say my rent is going to increase, is there anything I can do about it without losing my premises?

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The problem - My landlord has sent through a letter to say my rent is going to increase, is there anything I can do about it without losing my premises?

[fulltext] =>

Most tenants of retail premises now-a-days take 10 year FRI leases that include tenant break options and rent reviews on the 5th anniversary of the term. The rent review provisions are intended to allow the landlord the opportunity to increase the rent in line with open market values in that locality every 5 years and whilst many tenants may think that rental values have been falling over the past five years, this is not always the case and there has been rental growth in certain sectors and locations around the UK.

The rent review provisions are set out in the lease and all negotiations will be carried out in accordance with the agreed lease. These provisions will include a procedure for the review to be determined by a third party, either an Arbitrator or an Independent Expert if an amicable settlement cannot be reached. Please note that in the event that the matter does go to third party then you may risk becoming liable for half of if not all of the Arbitrator’s or Expert's costs. 

What should I do?

In the first instance don’t panic. We strongly advise you check your lease to make sure there are no onerous provisions making time of the essence. Once this is done you should respond to the landlords rent review notice requesting that they provide relevant market evidence that justifies the rent they are seeking. Whilst you might find that you are able to shave something off the landlord’s quoting rent it is often the case that you may secure a better settlement if you seek professional help and guidance. You will not lose your premises if you challenge a rent increase but you may adversely affect the viability of your business if you do not achieve the right settlement.

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