TENANTS - are you a commercial tenant finding it difficult to make your rent payments?
LANDLORDS - Do you have a commercial tenant who hasn’t been able to pay rent?
The rent moratorium is about to end, and the government is encouraging landlords and tenants to deal with these matters quickly and rationally.
The Government strongly encourages disputes over business rent arrears to be resolved by mediation.
Where mediation has been attempted and/or settlement has not been agreed, landlords and tenants will be required to use arbitration to finally resolve these disputes.
RICS can help you resolve these complex issues quickly and inexpensively through its tailored RICS Business Rent Mediation Service.
Published date: 15 March 2022
Published date: 15 March 2022
Published date: 15 March 2022
RICS mediation is a robust negotiation process, facilitated by an independent and expert mediator. It allows the mediator to intervene and use their experience and sector expertise to analyse and test the proposals made by each party, helping them to reach a responsible, commercial agreement.
Complete an application to appoint an impartial mediator and submit it to drs@rics.org.
The RICS mediator will be appointed within five days and will work with the parties to resolve the issues within 28 days. The Mediator will bring professional, real-world experience of dealing with similar negotiations to the mediation process. They will maintain a balance between the parties in negotiations, crystallise issues, and help parties agree the way forward.
Published date: 16 March 2022
RICS will not charge an administration fee to the parties. Instead, RICS will recover its administrative costs from the appointed arbitrator on the basis of a small percentage of their fee.
To provide an affordable and cost-effective service, each party will be responsible for the payment of their half share of the fees unless they agree otherwise, and the following rates will apply:
Properties where the annual passing rent is: |
Guide duration of Mediation Session* |
Hourly rate |
less than £50,000 |
up to 4 hours |
£150 + VAT |
£50,001 - £150,000 |
6 hours |
£250 + VAT |
greater than £150,000 |
8 hours |
by agreement |
* If the mediation session is extended over the guide duration a set hourly rate will be agreed between the parties and the mediator.