COMMERCIAL

FAQ'S

• What are the permitted uses under the planning permission?

  Permitted uses under planning permission are the types of activities or businesses which can operate in a property without needing to ask the council for extra permission. For example, if a shop has a Class E planning use, it can be used for:

  • Selling goods (like a grocery or clothing store)
  • Running a café or restaurant
  • Providing services (like a hair salon, bank, or estate agent)
  • Office work

• What are the business rates and who is responsible for paying them?

  Business rates are the tax paid to the local council if used as a property for non-residential purposes (like shops, offices, salons, warehouses, etc.). Think of them as the commercial version of council tax. The amount paid is based on the property’s rateable value (set by the Valuation Office Agency) and a multiplier set by the government each year. The person or business occupying the property (tenant or owner) is responsible for paying the rates. If the property is empty, usually the owner pays (although there are some reliefs). Small businesses might get Small Business Rate Relief if their rateable value is below £12,500.

• What is included in the service charge (if any)?

  The service charge on a commercial premises is a fee paid by the tenant to the landlord to cover the cost of managing, maintaining, and servicing the building and shared areas. It typically includes, building maintenance and repair, Cleaning and upkeep of common areas, utilities for shared spaces, security and safety, grounds maintenance, building insurance, management fee, compliance and inspections.

• Is the property VAT payable?

  When a commercial property is “VAT elected”, it means the owner (landlord) has opted to charge VAT (Value Added Tax) on the rent and possibly other payments like service charges. All rents and prices are quotes inclusive of VAT.

• What is the EPC rating and compliance status?

  An EPC (Energy Performance Certificate) rates how energy-efficient a building is and is legally required for most commercial and residential properties when they are sold, let, or built. Since April 2023, all let commercial properties must have a minimum EPC rating of ‘E’ or higher to be legally rented out.

• What is the length of the lease term being offered?

  The length of the lease term being offered refers to how long a tenant is allowed to occupy the commercial property under the lease. Typically, this is 3 years.

• Is there flexibility to negotiate terms?

  Yes, there is flexibility to negotiate lease terms, subject to the landlord’s approval.

• Is a rent deposit or guarantor required?

  Whether a rent deposit or guarantor is required depends on the landlord’s policy and the tenant’s financial strength. This is typically negotiated and confirmed in the lease or heads of terms.