Cases - Dukeminster (Ebbgate House One) Ltd v Somerfield Properties Company Ltd

Record details

Name
Dukeminster (Ebbgate House One) Ltd v Somerfield Properties Company Ltd
Date
[1997]
Citation
2 EGLR 125 or NPC 127, CA
Legislation
Keywords
Commercial property – landlord and tenant – rent review – review based on comparable properties within a particular location – meaning of the lease
Summary

The rent review clause in the lease of a retail distribution warehouse in Ross on Wye permitted the landlord to elect for the rent to be geared to the rent of 'a warehouse unit within a 35 mile radius of Ross on Wye having ... a total gross internal area of 50,000 square feet ...'. It was agreed that this provision was intended to cater for the situation if there were no comparable properties of similar size by which to assess the market rental value at the review date. The landlord argued that the provision gave him freedom to select any location which he chose for the notional unit within the 35 mile radius of Ross on Wye, but the tenant successfully argued that the location of the notional unit had to be either the location of the actual premises or a comparable location within the 35 mile radius.