Reedbut Ltd

Rent Review – Reedbut Ltd

In our opinion, Reedbut is one of those large and successful businesses whose products you may touch every day without realising where it came from.  Reedbut are one of, if not the UK’s largest and best producers of ‘stock’ and bespoke cardboard packaging, the variety of which has to be seen to be believed.

Reedbut has a large manufacturing and office facility in Milton Keynes extending to over 6300sq.m. in size. Like most commercial leases, their own leases (the building is held on multiple leases) are subject to rent review at intervals in an upward only direction to market value. Inevitably, our clients often find themselves unable to accurately determine what market rent should be. Sometimes the landlord, or their agent, will send information to the client intending to show or prove that the market rent is at a certain level while suggesting that the rent should increase accordingly.  It is not always the case that the information provided gives the complete picture or is balanced in its interpretation. Fortunately, no such problem was encountered here, but Reedbut did need to know what the rent should be, and have someone experienced and qualified to examine the leases and advise them.

Collins and Jarvis was retained and met with the client to discuss the matter in detail. The building was measured and the leases examined for the definition of rent review and how the rent is to be assessed at review.

We entered into negotiation with the landlord and advised the client on how factors such as service charges and repair liability affected the way the rent was to be assessed.

Ultimately, the client was able to agree to a satisfactory new rental figure from an informed position based on evidence – and at a level better than their own initial expectation.