Lease Renewal and Rent Review

Whether you’re a landlord or a tenant of a commercial property, there are two important times to consider during your lease. Lease renewals are your opportunity to set new goals – whether that be a higher rental return for a landlord or increased security for a tenant. Whereas, a rent review makes sure that the commercial property is suited to the market. We can help you on both sides – as we’re experts in both landlord and tenant law.

Lease renewal

Experience tells us that you should start preparing 18 months in advance of your lease expiry date. Are you a Landlord or Tenant approaching the final stages of your lease? If so, Mounsey Surveyors have an intimate knowledge of Landlord and Tenant law with the ability to negotiate the most favourable outcome on your behalf.

Understanding your lease renewal goals

A lease renewal gives both the Landlord and Tenant the opportunity to decide if they wish to continue to be bound by its terms. Whether we’re acting on behalf of either party, we recognise the importance of understanding what our client is looking to achieve by the end of the lease renewal process. For a Landlord, this may be to increase the rental return or to extend the term of the lease to provide security of income and add value to their asset. In contrast, a Tenant may require the flexibility to determine the lease at regular intervals to protect against changes in their business or improve lease security to support investment in a property.

Our client services include:

• Analysis and reporting on the existing lease agreement
• Measured inspection of the property
• Valuation advice
• Negotiation of new lease terms, including advising on the timing and service of section notices
• Liaise with solicitors throughout the legal process to document the new terms

Rent Renewal

Improving market conditions and growth in rentals has seen the return of the rent review market. A rent review usually takes place every 3 or 5 years, depending on the lease term in order to re-align the rent to the market. Likewise, our chartered surveyors use their knowledge and expertise to advise Landlord and Tenant clients on the review process.

Our client services include:

• Review terms
• Comparable transactions
• Tactical considerations
• Third-party submissions

Adding value to your instruction

Where an opportunity exists, we look to add value to an instruction to negotiate the removal of break options or re-gear leases. Notably, this has resulted in 80% of clients providing repeat instructions to advise on all aspects of their property portfolio.