By Richard Rafique, director and head of professional services at Bradley Hall
We couldn’t have predicted what the past year would bring and how challenging it would be for both businesses and landlords. The initial rumblings of the pandemic at the start of the year brought an uncertainty and confusion which has continued since – and many businesses simply do not know what the next week, month or year will bring.
For those who benefitted from the safety net of funding from the government, this support has now wavered thin with noticeable inconsistency in the support offered to companies depending on which tier they fall in to, meaning that both businesses and investors now must think creatively to survive. The ability to adapt to market needs and economic factors is key to ensuring business and financial success, however it seems that now most businesses which are able to innovate have exhausted most of the apparent options and are now thinking ‘what can we do next?’.
At present, it seems like a lose-lose situation for many, businesses can’t pay rent, landlords don’t get their income and are still required to meet their financial commitments for owning the property - but this is not necessarily the case.
In the current climate it is understandable that everyone is acting in their own best interests, looking after their assets and futureproofing their business or assets for both themselves and their employees. This often makes it difficult for landlords and tenants to negotiate with one another, as each is prioritising their own concerns. Landlords and tenants would benefit from professional negotiations to achieve a solution which benefits both parties.
Property experts are able to establish a beneficial agreement between the landlord and tenant in order for both to gain financial stability. For example, a rent reduction, or holiday can be negotiated, in return for a longer commitment from the tenant.
Now more than ever, there is an opportunity for us to create win-win situations which will help to support
