CVS Business Rent & Rates Specialists Case Studt Fraikin

Without their expertise and support we would have had to pay an extra £50,000 in rent

Dave Saxon, Central Support Manager, Fraikin

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Fraikin

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Fraikin

Savings of £50,000

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“With us already being successful using CVS’ business rates service, we decided to utilise their business rent service for our up and coming rent review. Without their expertise and support we would have had to pay an extra £50,000 in rent over the next 5 years.”

 

Dave Saxon, Central Support Manager, Fraikin

Fraikin are part of the largest commercial vehicle fleet services company in Europe, providing fleet management, contract hire and rental solutions, together with other support services, to both the private and public sector.

Over the past five years they have more than trebled in size and manage over 15,000 vehicles ranging from vans to maximum weight trucks and trailers, as well as specialist plant and machinery.

Results

CVS acted on behalf of Fraikin to negotiate their rent review of their premises in Bristol. CVS successfully negotiated a lower rent increase of 35% in face of the quoting rise of nearly 50%.

CVS Comment:

“CVS were instructed by Fraikin to deal with their rent review due 6th June 2016 at Highway House in Bristol.

The property is held on a 15 year lease from 6th June 2006, subject to five yearly upward only rent reviews and the rent at lease commencement was £81,000 per annum. It was interesting to note that the rent review due June 2011 was not instigated by the landlord so we were looking at a 10 year rise in industrial rental values for this particular review.

The Landlord, Union and Pension Trustees, were represented by Colliers International who quoted a rent of £120,000 per annum exclusive, very nearly a 50% increase from the passing rent.

One of the aspects of this review was the unusually low site coverage, the site being 1.5 acres in total with site coverage of 20.12%. We directed our search for rental evidence at all the major industrial parks within the BS postcode. With this being a heavily industrialised area of Avonmouth situated on the docks at the Bristol Channel, Beeches Industrial Estate at Yate and Emersons Green where rents in all of these locations were in excess of £8.00 per square foot.

Eventually we agreed the unit at £6.50 per square foot in April some two months before the review which in a rising industrial Bristol market was particularly pleasing.as was only a 35% increase in rent over the 10 year period.”

James Welllings, Business Rent Associate Director, CVS