A lease expiry provides tenants with a unique opportunity to evaluate their future space requirements. Maybe you need more space, maybe less space or perhaps just better space. Regardless of your own requirements, it provides us with the potential to negotiate an improved position, sometimes vastly so, on behalf of our clients.
Never be fooled into thinking that your landlord has the upper hand at renewal. Void properties are a real financial headache for landlords and you’re probably in a much stronger position than you think. The occupier market in Edinburgh and Glasgow is relatively subdued just now, so don’t assume that there are other companies out there, knocking the door down to take your space. Whilst the property is vacant the landlord will need to pick up the tab for vacant rates, refurbishment, marketing, service charge shortfalls, insurance and utilities. That’s a big incentive to keep you, so ignore all the bluff and bluster.
We have unrivaled experience in negotiating lease renewals and we have exclusive access to comparable transactions being completed in the wider market place. To ensure the best possible outcome, planning for a lease renewal should typically commence between 12-18 months prior to the end of any existing lease. This will give you a chance to consider all the options (including an alternative premises).
Sadly, lease renewals are usually not considered by occupiers until a time too close to their lease expiry date. In many cases the opportunity to really take advantage of the situation is lost. This is simply due to the vast amount of time needed to professionally address all of the many moving parts that are inherent in a successful lease renewal.
If tenants are to avoid missing these opportunities and have any ambition of achieving positive outcomes that meets their business needs, then a detailed and up to date knowledge of the following is essential;
Comparable evidence (up-to-date, actual and detailed)
Future service charge expenditure
Cost Analysis (renewing against moving)
North specialise in end of lease renewals. We have a successful track record in representing a wide range of businesses and we love seeing the financial benefits they can bring to our clients. If you have a lease expiry approaching and need expert advice, get in touch with us by emailing [email protected] or calling 0141 354 8962.