Rent reviews are common in any commercial property within the UK, Generally a commercial property (office, factory etc) will usually be rented out for a length of time agreed between the landlord and the tenant.
Sometimes, for a long lease, intervals would have been pre-agreed where a review can be conducted to establish if the rent value should be re-adjusted to the market level current at the time. Conditions vary depending on the terms. Review clauses in leases are often long and complicated. This is partly due to the fact that each lease will reflect the needs of the particular occupier to whom it relates.
The rent review clause sets out when each review will take place, the method of review, assumptions and disregards to be made when valuing the premises for the purpose of rent review, the procedure to be followed, and provisions for dealing with disputes if they arise.
CPMS follows the industry standards of RICS Code for leasing business premises in England and Wales (2007) which specifies rent review provisions as one of 10 requirements to ensure that a lease is Code-compliant.
