Commercial rent reviews are crucial aspects of lease agreements, playing an important role in ensuring that the rental value of the commercial property reflects the marketing conditions. The primary purpose of commercial rent review is to protect the interests of both landlords and tenants.
Most leases are subject to regular rent reviews, often on a five-yearly basis. Both landlord and tenant need to take steps to ensure that their interests are protected when it comes to commercial rent reviews, and the team of property experts at Ackroyd Legal are here to help. Landlords and tenants alike must take proactive measures to navigate the complexities of commercial rent reviews. Ackroyd Legal’s team offers comprehensive support to ensure that the terms and conditions are fair and favourable for both parties involved.
The frequency of commercial rent reviews varies and is typically specified in the lease agreement. The commercial rent review process mostly takes 1, 3, 5 or 10 years, and in most cases, it depends on market volatility, industry standards and both parties’ preferences. Following the analysis, a new rent is proposed based on current market conditions, along with a specified review date.
Market analysis provides opportunities to understand current rental trends in a specific area. After market analysis, you can check whether your current rent aligns with market standards or not after the consideration of local economic conditions.
It is important to understand the rent review clause in the rental agreement for the property, as all terms and conditions are mentioned in the lease agreement. Ensure that you are aware of the frequency, method, adjustments, and any other specific area outlined it the rent review clauses.
Stay informed about local laws and regulations regarding commercial lease agreements. Both commercial landlords and tenants should understand their rights and duties as outlined in the rental lease
When it is time to carry out commercial rent reviews, both landlord and tenant need to seek professional advice from a valuation surveyor with both local and industry knowledge. Your specialist solicitor at Ackroyd Legal can provide legal advice and guidance throughout the process and handle any issues or disputes that may arise to reach the quickest and most cost-effective resolution.
For more information on our services regarding commercial rent reviews, please contact our commercial property solicitors member of our team, who will be very happy to help you. We are committed to providing you with the support and information you need, ensuring a transparent and seamless experience.
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