I rent a small Equestrian Centre which was put into Trust when the owner passed away. The Letting Agent is a Bank who have a Trust Section with Chartered Surveyors. I have had the premises for 3 years and it is time for my first Rent Review. The surveyors have asked for a 10% Rent increase, but I think that this is excessive as all round you see rents falling especially with loads of town centres with 20% of shops closed. I put this to the Surveyors during a chat and obviously they have a different view. They say that Small Equestrian Centres, Quote" Are like gold to get hold of" as they very rarely are advertised for rent. I do know that when I applied for the lease over 3 years ago there were over 50 other people interested.
So does anyone else on this forum rent Equestrian premises and has your rent gone up.
Could you show that together with increases in other costs and lower takings (dont really know what you do there) due to the recession that a 10% increase in rent will not only make it uneconomical for you to carry on but also any other tenant that takes it on.
We have a flat that we rent out and in the end decided to take a slightly lower rent when we found a dependable, longterm tenant rather than keep advertising at the higher rate and have a series of tenants coming and going.
Firstly what is the market rent for similar yards near by ?
The surveyor will say equestrian centres are like gold as he wants to get as much as possible from you as he can.
Instruct an independent surveyor to give you a realistic idea of what the rent should be.
Explane that you cannot afford a higher rent as in the current market this a unrealistic expectation by the surveyor. Look around at for an alternative yard and threaten to move !
If it ain't Baroque don't ride it!
Near me there have been 2 up for rent lately, and one still is, and they are taking ages to go. Yes many would love the idea but coughing up is another thing. running a yard is hard work with everything it involves, its not just the horses its the fields, fencing, getting in new liveries, doing repairs and general maintainence so the costs are far higher than just the rent.
If costs go up, its the 'owner' that has to cover them as putting up the liveries rent can mean a grand exodus to another cheaper yard. Then how do you cover all the expeses, it has to come out of your pocket.
Horse owners are all feeling the pinch, hence why so many are being sold, offered for loan or share, or given to rescue centres or dumped.
Hay, feed, petrol,insurance, vet bills, all have to be taken into consideration and if livery prices rise too, many owners look for somewhere cheaper.
Your expenses are also rising, water, electricity, insurance, fertilizer etc as will anyone else who takes it over.
When any new tenant looks at what it will atually cost, the majority will drop out.
Things were different and cheaper 3 years ago, now everyone is struggling, prices rising and wages frozen in many cases, redundancy looming in others.
You can show the agent this if you like.
..............A stubborn horse walks behind you, an impatient horse walks in front of you,
............................... but a noble companion walks by your side.
I would think you are on a loser. Rental for equestrian, land, smallholdings and farms are all on the up in spite of the economic situation and people struggling to make a living. It just seems that if you aren't willing to pay the increase there are several others willing to (in this area anyway). Land price both buying and renting here is rising all the time and people still fight to get it.
I would suggest asking for something extra instead of asking for a lower rent. Are there any buildings or fences that need maintaining?