Tenants must prepare to avoid rent hike
Tenants who prepare poorly for rent reviews are responsible for setting high rents - that's the stark warning from former BII licensee of the year Richard Macey.
Multi-award Macey, Marston's lessee at the Fountain Inn in Clent, West Midlands warned the 150 lessees at the BII rent review seminar in Birmingham that if they failed to prepare they could have no complaints over high rents.
The less we prepare, the higher the rent is BII licensee of the year Richard Macey
"Who sets rent? I don't believe it is the landlords. Rents are set when we accept those given to us because we have not prepared properly.
"The less we prepare, the higher the rent is."
Macey said he had been through two rent reviews - one where he got his "arse kicked" and another where he was totally prepared. "The quicker you get into your mind the rent is going to go up the better - we just have to limit the amount we let them put it up.
"Be prepared to fight but you also need to know when to stop."
Macey's tips included gathering as much information as possible by engaging in honest conversation with fellow licensees over their lease terms, rent levels, tie and discounts as well as signing up to mailing lists from licensed trade agents to study what is available on the market.
Other tips were keeping detailed records and entering awards to prove you are above the hypothetical "average tenant" used in rent calculations.
He added: "We insure our cars, homes and health but why don't we insure against rent reviews? If you need to take professional advice every three to five years that means saving roughly £5 a week - that's two pints of cask ale or a packet of fags."
But he also warned the pubcos they must play fair. "I know who my key customers are and I know how to treat them. I would say the pubcos key customers are us. Please don't pull the wool over our eyes -stick to the new codes of practice."
