Client: BSS Plc
BSS Plc occupy 58,000 sq ft of good quality warehouse and trade counter space at the Metroplex development in Salford. These premises are prominently situated on Broadway, opposite the new Media City development and close to Salford Quays.
The landlord was seeking a substantial uplift in the passing rent, based on a number of criteria, including rental values for modern accommodation within the immediate vicinity; superior Trafford Park developments and the significant redevelopment, as a result of the future occupation of the Media City development to be anchored by the BBC.
At the latest rent review, the landlord served notice, seeking an increase of approximately £336,000 per annum. This represented an uplift of 17%, which would have resulted in a total increase in rent payable to the next review in five years of £245,000.
BSS Plc appointed Gerald Eve landlord and tenant experts to negotiate the rent review on their behalf.
Approach
We used our detailed local knowledge and market intelligence to formulate a strategy for negotiations which would undermine the landlord’s position. At all times the client was kept appraised of our negotiations and was fully up to date with developments.
Results
Under threat of proceeding to third party (Independent Expert) our lease consultancy team successful agreed a revised rent at a substantially reduced uplift of 3.3%, producing a saving over the five year review period of £197,500 in rent payable.
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