Christie & Co, the specialist property agent and advisor, has predicted that a highly adopted switch from quarterly to monthly rents could become the norm and more permanent in the face of the recession
The last 18 months has a surge in operators across the leisure and retail sectors adopting monthly rental agreements – or seeking further concessions from landlords.
Christie & Co said it has acted on behalf of a number of tenants across both the leisure and retail sectors in renegotiating leases and rental payments, as well as acting for landlords where similar requests have been received.
The company now believes that the flexibility shown by landlords and the success of the change to monthly rental terms could see the return to quarterly rental payments postponed during a gradual recovery or in some cases indefinitely.
Stephen Owens, head of rent reviews at Christie & Co, said: “Landlords and tenants have appeared to have accepted that monthly rents are not a short-term fix and are here to stay in the short to medium term, and maybe even longer.”
