Commercial property is a property which is rented or leased to businesses and typically falls into a number of categories including offices, industrial or warehouse buildings or retail shops and warehouses. The Use Classes Order 2005 tables various uses into groups; Uses A1-A2 deal with most “retail uses, A3-A5 food and drink uses such as takeaways, restaurants and pubs whilst Uses B1 to B8 deal with a whole variety of business use from offices (B1) to warehouses, manufacturing uses and special heavy industrial processes
Rents for commercial property can vary dramatically depending on a number of factors including
- Overall specification of the space
As well as these factors, rent can be affected by how long a tenant is prepared to rent the space for. A flexible lease with options to break the agreement will invariably mean that the rent will be much higher than if an occupier agrees to lease a property for say 10 or 15 years. The longer the lease the more the financial incentives are – subject of course to the tenant demonstrating that they have a business that can afford the rent in the first place !
If you are considering taking a lease on commercial property then first thing you should consider is to appoint or liaise with a commercial property agent or chartered surveyor who can advise in terms of the best deal for you. Specialist Chartered Surveyors are able to advise on condition of commercial property as well as advise on terms appropriate for the premises you are considering.
Rent as well as price should account for the cost of any repairs !