Use this checklist when preparing for or responding to a commercial rent review.
First steps
- Find the signed lease and variations.
- Confirm the review date and mechanism.
- Do not assume the landlord’s proposal is the market rent.
- Check assumptions, disregards and permitted use.
- Identify improvements you have carried out.
- Check the floor areas being used.
Test the proposal
- Ask what evidence supports the proposed rent.
- Research completed comparable transactions.
- Check rent-free periods and other incentives.
- Consider differences in size, location, configuration and specification.
- Establish your own evidence-based rental position.
Before settlement
- Understand potential back rent and interest.
- Check the third-party procedure before deadlines arise.
- Consider specialist advice where the increase is material or evidence is disputed.
- Ensure the agreed rent is properly documented.
This checklist is general information and not legal advice.