Negotiations between retailers and landlords pay off as 100th store opens

A recent study has shown that the number of retailers going out of business has risen by 38% in the first quarter of 2012 as they struggle with high rents and banks that are reluctant to extend credit. However, some savvy retailers
are managing to negotiate deals that will ensure their business continues to ride the recession.

Phase Eight, which already operates 88 stores and 143 concessions across the UK and Ireland, opened its 100th store in Clapham, South London earlier this year and Johnson Fellows were on hand to ensure the retailer secured the best rent deal on its new premises.

Before the fit out process began, Johnson Fellows carried out a pre-acquisition survey to assess the condition of the premises and identify any defects that were likely to incur maintenance costs in the future. The Birmingham-based
surveyors also carried out an asbestos check on the property.

Andrew Rowson, partner at Johnson Fellows, said: “We’ve been working with Phase Eight since 2009, providing pre-acquisition surveys for 25 of the retailer’s stores across the UK – from Edinburgh to Brighton. These checks have
allowed Phase Eight to gather the evidence they need to be able to negotiate rent reductions or rent-free periods with the landlords.”