Secondary trading positions and dominant occupiers
11 May 2025(2025 May) – Acting for the Landlord of a shop in London Road, Norbury, London SW16, let to a well-known corporate estate agent, the rent review was referred to an Independent Expert. Inevitably, the Tenant’s surveyor sought nil increase. I say ‘inevitably’ because multiple retailers and ilk tend to cite evidence involving other multiples and dismiss agreements by local traders and unrepresented tenants.
In-house and external surveyors for multiple retailers tend to stick together, so sourcing rental evidence is easier. The IE’s reasoning is very useful, the gist that, as this a secondary area, mostly local traders have a different attitude towards rent and lease term duration. So what might be considered the norm prevalent in more prime locations doesn’t apply.
My client is pleased with the just over 20% increase.
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