Jurisdiction(s):
United Kingdom

Key definition

Rent Review definition

What does Rent Review mean? Rent review is the contractual mechanism in a lease for periodically resetting the rent during the term. In practice, it commonly uses one of four methods: open market rent, indexation (e.g. RPI/CPI), fixed “stepped” uplifts, or turnover rent. Under an open market rent review, the rent is reassessed by reference to comparable properties on the review date, assuming a hypothetical letting between a willing landlord and willing tenant of the actual premises on the existing lease terms, but subject to stated assumptions and disregards (typically assuming vacant possession and lawful use, and disregarding tenant’s improvements and goodwill). The concept is not defined...

Commercial lease rent reviews in Scotland: drafting, notices, time limits and waiver, valuation assumptions/disregards, dispute resolution (arbitration v expert), and alternatives (turnover rent and indexation)

Published by a LexisNexis Property Disputes expert

Practice notes

This Practice Note sets out how Rent Review clauses operate in commercial leases. It also summarises the processes for resolving rent review disagreements by arbitration or Expert determination. It does not address agricultural rent reviews; for those, see Practice Notes: Rent review under 1991 Act agricultural tenancies in Scotland and Rent review under 2003 Act agricultural tenancies in Scotland.

Need for rent review

Rent reviews enable commercial rents to be aligned with market conditions at the review date. They appear most often in longer commercial leases. Reviews occur at the intervals agreed in the lease’s rent review clause, typically every three to five years, though this may differ.

In addition to specifying the dates, the lease should set out the method to be used for the review. Several approaches are available, discussed below; however, the open market rent basis is the most prevalent. For further detail, see: Different types of rent review: Stair Memorial Encyclopaedia [481]. Care is required when drafting rent review clauses to ensure that...

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Alistair Drummond

DLA Piper

Alistair heads up DLA Piper's Litigation and Regulatory practice in Scotland, and specialises in all aspects of Commercial Property and Commercial Lease disputes and Contentious Construction issues. He advises on wide ranging matters including dilapidations, keep open clauses, landlord's consent, irritancy, lease interpretation, servitudes, enforcement of missives and agreements for lease, amongst others. Recognised by his peers and clients alike as having extensive and comprehensive knowledge of his area of practice, Alistair is frequently requested to lecture and present seminars and training events on the subject. ...

Gavin Deeprose

DLA Piper

Gavin is a Senior Professional Support Lawyer in DLA Piper's Litigation & Regulatory Group. He provides technical support to legal professionals within the Group across a diverse range of subject areas including property, commercial and regulatory disputes. He monitors, updates and trains lawyers and clients on relevant legal and regulatory developments, creates and maintains litigation and other styles for use within the Group and produces articles and client bulletins for publication on the firm's website and newspapers, journals and online platforms. He also works on global projects to enhance the quality of client service.Prior to becoming a professional support lawyer Gavin gained substantial experience as practitioner, working at two major Scottish firms. He is an experienced litigator specialising in commercial disputes, including property related claims, corporate debt recovery and repossessions, and insurance litigation, acting for many prominent companies and financial...

Kirsty Gray

DLA Piper

Kirsty is an Associate in DLA Piper’s Litigation and Regulatory group in Scotland, based in the firm’s Edinburgh office. She works across a wide range of subject areas including property and commercial disputes and regulatory work. She assists on Scots law and procedural matters, some of which have a cross-border or international dimension....

Web page updated on 21/05/2026

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