A ten-year lease at £45,000 a year is not a £45,000 decision. It is rent, service charge, business rates, insurance, energy and a dilapidations bill at the end that nobody mentioned at heads of terms — and on a typical office rent is barely 60% of it. The tool below puts the whole number in front of you, which is the number a company with an in-house property team would have seen before signing.
Both of them move money from the landlord’s side of the table to yours.
In London Trocadero (2-15) LLP v Picture House Cinemas the High Court found that a landlord receiving 45 to 55% commission from its broker could not pass that on. The recoverable sum was what was actually payable to keep the building insured — and the court read in a term that insurance rent must represent the market rate negotiated at arm’s length in the ordinary course of business. The judgment noted a normal commission of around 29%.
Alongside that, the RICS standard now makes disclosure of commission, rebates and other benefits mandatory. So for the first time you can both ask the question and expect an answer. The landlord has indicated an intention to appeal, so this is not finally settled — but the disclosure obligation is, and asking costs you an email.
Put in what you know. Anything you leave at the default is filled with a published benchmark, and the tool tells you which is which. The number that matters is at the bottom: the whole-life cost of the commitment, which is what you are really signing. Nothing is sent anywhere and there is no form in front of it.
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Rent is the line everybody negotiates and the one with the least give in it, because it is benchmarked and the landlord knows the comparables better than you do. The savings are in the lines nobody reads.
The largest single number in most leases and the one nobody provisions for. The lever is not arguing about a schedule after it lands — it is a schedule of condition annexed to the lease before you sign, correct wording limiting the repair covenant, and photographs of what you actually took. A schedule costs perhaps £500 to £4,000. It routinely removes the pre-existing defects from a five-figure claim.
Damages for disrepair cannot exceed the amount by which the landlord’s reversion has fallen in value — and the burden of proving that is on the landlord. If they are refurbishing or redeveloping anyway, your works would be superseded and the claim can collapse to very little. In one Court of Appeal case a costed schedule was discounted by 60% because no valuation evidence was led at all.
New, and immediately worth an email. Since the RICS standard’s second edition took effect on 31 December 2025 the landlord must disclose commission, rebates and other benefits in full — and the High Court has held a tenant was not liable for a 45 to 55% commission that had been quietly loaded into the insurance rent. Ask what commission is being taken. The question alone changes behaviour.
Median London office service charge is around £13.83 per sq ft, and the upper quartile is £17.11 — so a building can be a third above the market and nobody notices. Percentage-of-spend management fees are no longer considered appropriate, apportionment by rateable value is no longer recommended, and you are entitled to an apportionment matrix showing how your share was calculated.
Break clauses fail on conditions, not on dates. Vacant possession, all sums paid, compliance with covenants — each is a trap, and courts construe them strictly. Worse, rent paid in advance for a period beyond the break is generally not apportionable back to you. If you have a break, the work starts twelve months out, not two.
A twenty-year-old office uses roughly twice the energy per square metre of a new one — on published benchmarks around 280 kWh per square metre against 137. That is a real cash difference over a ten-year term. Note also that minimum energy efficiency standards are a landlord obligation: you are not liable to fund an EPC upgrade through a repair covenant, whatever a schedule of dilapidations may imply.
This is a market with a lot of confident numbers in it. Here is where ours stop.
The rates per square foot on this page come from surveying practices publishing their own experience. They converge reasonably well for London offices and they are thin for retail and industrial. We looked for an authoritative dataset on what schedules actually settle at and could not find one — the nearest thing is a large consultancy’s settlement-rate series that is no longer published.
So when we say claims commonly settle 40 to 60% below the schedule, that is practitioner experience and reported case law, not a statistic. It is enough to tell you the first number you receive is not the number you pay. It is not enough to budget on, and anyone quoting you a precise percentage has made it up.
Success fees are the norm in this market and they are fine where the saving is verifiable against a served claim — a dilapidations schedule reduced from a stated figure, a service charge item credited back, a rateable value corrected. There, the before and after are documented and a percentage is honest.
What we will not do is take a percentage of a projection: a saving measured against what we say you would otherwise have paid, on a lease you have not signed yet. That number is whatever we choose to make it, and it is the standard way this industry manufactures a fee. Pre-signing work is a fixed fee, so that telling you the deal is fine costs us money.
Fixed fees on anything before you sign, because that is the only way our advice is worth listening to. A percentage only where there is a served claim to measure it against.
The percentage only ever applies to a documented before and after. A dilapidations schedule reduced from a served figure, a service charge item credited, a rateable value corrected. We will not take a percentage of a projected saving on an unsigned lease, because that figure is whatever the adviser decides it is. Formal valuation and expert evidence is RICS registered valuer work. A diminution valuation for a contested dilapidations claim needs one, and where a matter reaches that point we will say so and bring one in rather than stretching. We are not solicitors and this is not legal advice. Lease drafting and any litigation goes to your solicitor; we do the property, cost and surveying side and work alongside them. Figures stated as at August 2026 — business rates multipliers change every April and the dilapidations benchmarks are practitioner data rather than a published series.
Size, rent, sector and where you are in the term. That is enough for us to tell you whether there is anything worth doing — including that the lease is sensibly drawn and the costs are in line, which on a well-advised deal is a common answer and a free one.
Four questions. We come back with what we think it is really costing you, which lines are worth challenging, and whether it is worth instructing anyone at all.
Timing changes almost everything about what can be done.
Choose as many as apply.
Size, rent, sector and roughly where. Enough for us to sanity check the numbers.
If the lease is sensibly drawn and the costs are in line we will say so. That is a common answer on a well-advised deal, and it is free.
Check it over. Tapping the button opens WhatsApp with this ready — nothing has been sent yet.
Send this on WhatsAppEvery one of these has a free tool on it. None of them asks for your details before it gives you an answer.
For businesses. The 2026 revaluation put rateable values up 19.6%. If the survey was wrong before, it is now wrong by more.
Your 2026/27 bill and every route to reduce itfree, or 25% of what we save →Benchmark the block line by line, retender the contracts, and use the costs that are simply not payable.
Service charge benchmarker with the legal leversfrom £1,750 →What the law will cost you over a ten-year hold, before you commit to buying.
Ten-year capex forecaster with the yield impactfrom £450 →Larger than almost any SME expects, and the number that shocks people is the per-square-foot rate rather than the total. Surveying practices publishing their own experience put London office dilapidations at roughly £12 to £18 a square foot for a well-maintained space with no alterations, £15 to £25 for a standard fit-out, and £40 to £65 or more where the space is heavily altered or high specification. On 3,000 square feet that is a schedule somewhere between £45,000 and £195,000. Those are practitioner figures rather than a published dataset and they are London-weighted — regional rates are materially lower and we could not find a reliable regional series. What is not in doubt is the shape: on a ten-year lease the dilapidations bill is frequently a significant fraction of a year’s rent, it arrives when you are least able to absorb it, and it is the one line that never appears in the board paper approving the lease.
Yes, reliably, though we are going to be careful about the number. Practitioners commonly describe settlements landing 40 to 60% below the served schedule, and reported cases support the direction: in Latimer v Carney the Court of Appeal discounted a costed schedule by 60% because the landlord led no valuation evidence, and in Sunlife v Tiger Aspect a £2.17m claim produced an award of about £1.35m. We went looking for an authoritative dataset on average settlement rates and could not find one — the nearest thing was a large consultancy’s published series that is no longer available. So treat 40 to 60% as practitioner experience, not a statistic. The reliable lesson is narrower and more useful: the first number you receive is a negotiating position prepared by the other side’s surveyor, and it should never be paid on receipt.
Section 18(1) of the Landlord and Tenant Act 1927, and it is the reason dilapidations claims collapse. It provides that damages for breach of a repairing covenant cannot exceed the amount by which the value of the landlord’s reversion has actually been diminished by the disrepair. So the landlord does not automatically recover the cost of the works — they recover the lower of that cost and the real loss in value, and the burden of proving the loss is theirs. The second limb is more powerful still: if the premises were going to be pulled down or so structurally altered that your repairs would be valueless, no damages are recoverable at all. In practice that means the first question on any claim is what the landlord is actually doing with the building next. Planning applications, marketing material and building contracts are all public or discoverable, and a landlord refurbishing anyway has a much weaker claim than their schedule suggests. One caution: this is a defence you have to raise and evidence. A tenant who never commissions a diminution valuation cannot usually rely fully on the cap.
Almost always, and it is the cheapest thing on this page — roughly £500 to £1,500 for small premises, £2,000 to £4,000 for standard offices, more for anything complex. It works by limiting the repair covenant so you need not hand the property back in better repair and condition than the schedule evidences, which removes every pre-existing defect from the claim at the end. Three things make the difference between one that works and one that does not. It must be narrative and photographic — dated, located photographs cross-referenced to a written description of each element. It must be agreed by both parties, not filed unilaterally. And it must be annexed to and expressly referenced in the lease, with wording covering repair and condition, not repair alone. A schedule sitting in your solicitor’s file is worth nothing. We should also say plainly that no published study quantifies the saving, so anyone telling you it returns a specific multiple of its cost is guessing.
More than you could a year ago. Office service charges rose 9% in a single year after 15% the year before, shopping centres 11% and retail parks 14% — so this is not your building being unusual. Start with the benchmark: the median London office service charge is about £13.83 a square foot and the upper quartile £17.11, against £8.86 outside London. If you are materially above that, ask why. Then use the second edition of the RICS service charge standard, which took effect for service charge periods starting on or after 31 December 2025 and makes several things mandatory: budgets at least a month before the year starts, year-end accounts within four months of the year end, an apportionment matrix showing how your share was calculated, service charge and sinking fund money held in discrete accounts with interest credited, and recovery of no more than 100% of actual costs. Percentage-of-spend management fees are no longer considered appropriate and apportionment by rateable value is no longer recommended. The uncomfortable part is that there is no statutory control of commercial service charges at all — no tribunal, no reasonableness test, no consultation requirement, none of the residential protections. Your leverage is the lease, the RICS standard, and a complaint to RICS about the managing agent.
The most immediately actionable thing on this page. In London Trocadero (2-15) LLP v Picture House Cinemas, decided in 2025, a landlord was receiving 45 to 55% commission from its broker and charging it on to tenants inside the insurance rent. The High Court held the tenants were not liable for it — the recoverable sum was what was actually payable to keep the building insured — and read in a term that insurance rent must represent the market rate negotiated at arm’s length in the ordinary course of business. The judgment noted a normal commission of around 29% against the landlord’s 45 to 55%. Hundreds of thousands of pounds were ordered repaid. Separately, the RICS standard now makes disclosure of commission, rebates and other benefits mandatory. So: write and ask what commission is being taken on your buildings insurance. Two honest caveats — the landlord has indicated an intention to appeal, so the case is not finally settled, and you still cannot challenge the premium itself or require the landlord to shop around unless your lease says so.
Extremely, and earlier than you think. Break clauses fail on their conditions rather than their dates, and the courts construe them strictly because the consequence of a valid break is that the landlord loses the rest of the term. The usual conditions are vacant possession, payment of all sums due, and compliance with covenants — and each of those has generated litigation. Vacant possession has been defeated by leaving furniture and by leaving partitions in place. “All sums due” can be defeated by an underpayment of a few pounds of service charge that nobody had demanded. There is also a trap that catches people even when the break works: rent paid in advance covering a period after the break date is generally not apportioned back to you, so breaking a day after a quarter day can cost you three months’ rent. Our advice is always the same — start twelve months out, get the conditions read by someone whose job it is, and treat the date as immovable.
Pre-signing work is a fixed fee at £1,250, deliberately, so that telling you the deal is fine costs us money rather than making us money. A full occupancy cost audit on an existing lease is £2,950, and defending a served dilapidations claim is £1,850. We will take 20% of a saving where the saving is verifiable against a served claim or a documented before and after — a dilapidations schedule reduced from a stated figure, a service charge item credited back, a rateable value corrected. There the arithmetic is checkable and a percentage is honest. What we will not do is take a percentage measured against what we assert you would otherwise have paid, because on an unsigned lease that number is whatever the adviser chooses to make it, and manufacturing it is the standard way fees are inflated in this market. If another firm offers you a success fee on a projection, ask them to show you the counterfactual in writing.
Almost everything on this page is easier, cheaper or only possible before completion — the schedule of condition, the repair covenant wording, the service charge cap, the reinstatement position, the break conditions. After that you are managing a liability rather than shaping one. If you have not signed, that is the call to make this week.
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