We advise Prolog who occupy 1.2 million square feet across 6 distribution centres at Sherwood Park, Nottingham. 2 units of 186,000 sq ft and 124,000 sq ft both fell subject to rent review on the same date. The landlords were seeking substantial rental increases and it was not possible to agree either the general valuation rate and that a significant discount should be applied to the concrete mezzanine floors for which the landlords were applying a full rate to.
We referred both reviews to Arbitration and in both cases the different Arbitrators agreed with our valuation rate for the mezzanine floors. Furthermore, we were completely successful in both arbitrations resulting in total rental savings from the landlord’s proposals of £684,000 over the 5 year rent review period.