Commercial property owners urged to offer shorter leases | 12 October 2012
Commercial property owners have been urged to consider offering shorter leases in order to help kick-start the economy.
Christie Limb, who is a partner at law firm Fidler and Pepper, claimed that the move would benefit tenants as well as landlords, as nobody wins in the case of vacant high stores.
Commercial property leases in the UK have been getting shorter since the onset of the economic downturn, averaging just 4.8 years in 2011. However, Limb suggested that offering 12-month leases could help attract a plethora of new tenants who would otherwise be worried about making such a big commitment.
“If the tenant’s business does well, the lease can be renewed after the short let has expired in any event. It’s a different way of thinking but it could help revive the high street,” she told stride.co.uk.
The founders of entrepreneurial campaign StartUp Britain agree that shorter leases could be the key to galvanising the high street. The group has recently launched an initiative called PopUp Britain, which encourages landlords to lease out their stores to tenants for just a couple of weeks in order to boost growth.
Bmmagazine.co.uk reports that a trial of the scheme, taking place in Surrey, has been a huge success and the founders are now hoping to open more ‘PopUp’ stores across the country.
Written by Joe Elvin on behalf of Qube Global Software
While posted by Qube Global Software all views expressed are not necessarily those of the company. All facts are verified where possible directly by the author.
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