Retail Rent Review Auckland

[Engineer]

Random question.

We have a retail rent review to do in Auckland CBD to market.
Is there any freely available info on this anywhere or do I need to talk to an agent ?

Would be good to have something solid to back my market rent review up with incase it goes South.

[donna]

Hi Engineer

You’ve got your own discussion.

Are you doing a market rent review or one based on CPI? Market review needs a rent appraisal or not? Thought it did for commercial. But not needed for a CPI review.

cheers

Donna

[Engineer]

High street retail, rent review to market.
Thanks

[Halfway To Paradise]

Hi Engineer
I am in a similar situation where market rent review due. I have spoken to an agent who rents and sells lots of property in the town I have property. Should the tenant not accept the figure I have come up with I will tell them they can get a registered rental appraisal and I will do the same, we then take the figure in the middle. I will also remind them that the appraisal will probably cost over a $1000 each. Due to the size of property and reasonably low rent, I don't think they would want to pay out for this.

[Engineer]

Thanks. There’s a few tricks like ensuring that the rent review doesn’t line up with the right of renewal. But I always find that commercial tenants are quite savvy with arguing rent rises and seem to have more time to do their homework than I do. Somehow they know how much Fred and his fifty mates around the corner are paying. Or at least the ones on cheap leases.

The rent increase notice has been sent, waiting for the inevitable response. I have had this tenant for about 10 years.

[Halfway To Paradise]

Hi Engineer. I am interested to hear how it all panned out. On one of my rentals I put a figure forward which was on the lower side of the appraisal I got from an estate agent who knows the town really well. Then I had tenant complaining and sending me a list of what other properties are paying. Strangely these low figures did not take into consideration if CPI increases etc were due. I got a list of examples from my agent for the same town which are significantly higher that I want to increase to. Now I think we will be paying for registered valuations at a ridiculous expense to us both. Another tenant who is due to renew is complaining about a 14% increase after 3 years. I am waiting for them to get back to me.