Rent Review Advice in Tunbridge Wells for Commercial Tenants
Rent Reviews in Tunbridge Wells: A Guide for Commercial Tenants
If you lease a shop in The Pantiles, an office in Calverley House, or a unit on North Farm Industrial Estate, chances are your commercial lease includes a rent review clause. Understanding how this works is essential to managing your business’s property costs effectively.
As a chartered surveyor and registered valuer based in Tunbridge Wells, I frequently advise local business owners on rent reviews - helping them interpret lease terms, assess market rents, and negotiate with landlords. In this guide, I’ll answer the most common questions commercial tenants in Tunbridge Wells ask about rent reviews:
What is a rent review?
Can I challenge a rent increase?
What happens if I can’t afford the new rent?
How is rent increased during a rent review?
Do rent reviews apply to residential leases?
Let’s take a closer look.
What is a Rent Review?
A rent review is a clause in most commercial leases that allows the landlord to review - and usually increase - the rent at specified intervals (typically every three to five years). The purpose is to bring the rent in line with the open market value at the review date.
In Tunbridge Wells, this affects a wide range of occupiers, from cafés and salons on Camden Road to offices around Lonsdale Gardens and industrial units off Longfield Road. Most rent review clauses are upward-only, meaning that the rent can increase but not decrease, even if market conditions change.
Can I Challenge a Rent Increase?
Yes. A rent review does not give the landlord free rein to demand any increase they choose. Tenants are entitled to challenge a proposed increase - and doing so can result in substantial savings over the remainder of the lease.
If you receive a rent proposal from your landlord:
Do not accept it without scrutiny.
Review your lease to understand how the rent should be assessed.
Instruct a qualified surveyor - like myself -to carry out a professional valuation and negotiate on your behalf.
The key to challenging a rent increase is evidence. I regularly use local comparable lettings from Tunbridge Wells to provide accurate valuations and support fair outcomes for clients.
What Happens if I Can’t Afford the New Rent?
Rent increases can be difficult to absorb - particularly for smaller businesses or in times of economic uncertainty. If the new rent figure proposed is unaffordable:
Begin negotiations early. Landlords may be open to phased increases or temporary concessions if it helps retain a long-term tenant.
Check your lease for break clauses or the ability to assign or sublet.
Consider your business plan and whether relocation is viable.
Seek expert advice before agreeing to anything.
Remember: a landlord cannot enforce a rent increase without following the terms of the lease, and you don’t have to agree to an unrealistic proposal.
How is Rent Increased During a Rent Review?
The method for increasing rent is always specified in the lease. In Tunbridge Wells, the most common type is an open market rent review. This means the rent is adjusted to reflect what your premises would let for on the open market at the review date, assuming a hypothetical new lease on similar terms.
As a rent review surveyor, I assess:
Recent comparable lettings (shops, offices, or industrial space in Tunbridge Wells)
The lease terms, such as length, repair obligations, and whether there’s a break clause
The condition and location of the property
Some leases may use an indexed approach, such as linking rent to the Retail Prices Index (RPI), or apply fixed increases, though these are less typical locally.
The rent review process usually involves initial proposals from the landlord, followed by negotiation between surveyors. If the parties can’t agree, the matter can be referred to a third-party expert or arbitrator as set out in the lease.
Do Rent Reviews Apply to Residential Leases?
In general, formal rent reviews are a feature of commercial leases, not residential ones.
However, long leasehold residential properties may contain ground rent clauses that allow for periodic increases - sometimes using a formula or fixed uplift. These are not typically negotiable in the same way commercial reviews are, and reforms are under way to reduce the impact of escalating ground rents.
Assured Shorthold Tenancies (ASTs) -the most common form of private residential tenancy - do allow landlords to propose rent increases, but these are regulated and usually limited to annual adjustments with notice.
While I undertake residential valuation work, all of my rent review work is focused solely on commercial property.
The Tunbridge Wells Market
Tunbridge Wells is a strong commercial centre, with continued demand for retail and office space -particularly in the town centre. The area has a broad mix of properties, from Georgian frontages on The Pantiles to purpose-built business units and mixed-use developments.
This diversity means that rent review outcomes can vary significantly, depending on the property type and exact location. For example:
Smaller retail units in The Pantiles may command higher rents due to footfall and aesthetics.
Industrial units in North Farm vary by age, size, and parking availability.
Office space near the station may attract a premium due to commuter access.
Understanding these factors is vital when negotiating a rent review. That’s why local market knowledge is key.
Final Thoughts
A rent review is not simply a rubber-stamping exercise. It’s an opportunity for landlords to adjust rent - but also a critical time for tenants to ensure they’re not overpaying.
If your lease is due for review or you’ve received a rent proposal from your landlord, now is the time to take action. Professional advice can help you:
Understand your rights and obligations
Assess the market rent with evidence
Negotiate a fair outcome
Avoid unnecessary increases or disputes
Looking for a Rent Review Surveyor in Tunbridge Wells?
I’m Tom Olden, Principal at Olden Property. I provide rent review and valuation advice to commercial tenants and landlords across Tunbridge Wells and the surrounding area. Whether you're leasing a retail unit, office, or industrial space, I can help you secure the best possible outcome.