MH Real Estate

Thursday 27 September 2012

Want to save money on empty commercial property? 

The Problem

Both a tenant with space they no longer occupy and a freeholder who can’t find a tenant have to pay business rates on empty commercial properties, no matter how hard they are trying to find a new occupier. Indeed, even the Government is affected as it will pay over £70m rates on empty buildings this year. Empty retail and office premises only have a three month rate-free period, industrial and warehouse units have six months and then full rates become payable. However, legislation provides that a new rate-free period is triggered when there has been a degree of occupation for a minimum period of six weeks.