Turnover Rents - The New Normal for the High Street?
The woes of the retail sector over the past few years are well-recognised and are now compounded by the effects of COVID-19. Lease structures are coming under increasing scrutiny, as both landlords and tenants seek ways to support businesses. Switching from open market rental to a turnover-based arrangement is an increasingly popular option for assisting tenants and has the added advantage of being relatively familiar and well-established.
Simplified turnover rent arrangements are increasingly seen, but the idea is, nevertheless, one which can be complex in implementation.
This live broadcast session explores the issues of capturing all information on turnover in a rapidly changing retail environment, and considers implications for lease provisions on alienation, user and more. Practical exercises are used to highlight and explain key problems.
What You Will Learn
This live and interactive session will cover the following:
- What is included in calculating turnover?
- How does turnover translate into rent?
- Ability to revert to an open market rent
- Implications for alienation
- Impact on rent review
- Impact on break options
- Relevance of use restrictions
Recording of live sessions: Soon after the Learn Live session has taken place you will be able to go back and access the recording - should you wish to revisit the material discussed.