Riverside, Hammersmith Embankment Office Park, London W6
Riverside is a prominent headquarters office building comprising 67,000 sq ft located on the north bank of the River Thames, close to the centre of Hammersmith.
Savills was appointed to secure for the occupier the lowest possible rent on review effective 19 March 2009. This was to be achieved either by negotiation or if this was not possible by referring the case to an Independent third party Valuer.
Rapp Limited, a wholly owned subsidiary of the one of the largest advertising agencies in the world, Omnicom.
The Landlord sought to increase the rent on the building on review from £1,677,500pax (or £25.25psf on the prime space) to £2,525,000 pax (or £37.50psf on the prime space) effective 19 March 2009.
Savills identified the requirement of Rapp Limited and Omnicom for an advisor with bespoke agency knowledge on competing schemes combined with unparalleled professional expertise and credentials and a forensic ability to uncover all the available evidence. Savills successfully won the commission following a pitch against 5 others advisors after highlighting these credentials and where the best evidence to support a nil increase in rent could be obtained.
How we added value:
Despite extensive negotiations it was not possible to agree the rent review by negotiation with the Landlord’s advisor at a nil increase in the passing rent.
As a result, it was necessary to refer the case to an Independent Expert Surveyor appointed by the President of the R.I.C.S..
The Appointed Independent Expert set out his procedural instructions and a timetable for the lodging of a Statement of Agreed Facts, Written Reports and Replies by the Expert Witnesses appointed on behalf of the Landlord and Tenant.
Following submission of the documents by the parties Expert Witnesses the Independent Expert determined a rent at £1,565,500pax exclusive or £23.50psf.
The Tenant was delighted with the outcome of the rent review, which was fully in line with our budgetary advice to our Client. The result achieved by the Savills’ team saved Rapp Limited over £4,200,000 over the rent review period.
Savills Grosvenor Hill
+44 (0) 20 7409 8027
Savills Grosvenor Hill
+44 (0) 20 7409 8893