SHUTTERSTOCK aka Rex Features
CLIENT BRIEFOur client, Shutterstock formerly Rex Features asked us to look at reducing the business rates liability on their office building in Midtown. Having investigated the Rateable Value assessed for…
CLIENT BRIEF****Our client, Shutterstock (formerly Rex Features) asked us to look at reducing the business rates liability on their office building in Midtown. Having investigated the Rateable Value assessed for their building, we concluded it was excessive and so submitted an appeal on their behalf.
OUR PROFESSIONAL APPROACH****Despite our best efforts in trying to negotiate with the Valuation Officer, no acceptance of a reduction was forthcoming. Unfortunately, due to the new RICS guidelines that were introduced back in July 2014, this meant we had to take the case to the Valuation Tribunal, where costs to the client are incurred before a successful result is guaranteed. Where possible, ask-re endeavour to achieve a reduction without incurring these costs. It is because of this new rule that we always try our very best to achieve a reduction by negotiation before proceeding to any VT. We were unsuccessful in this instance, but were fully prepared to present our strong case to the panel.
THE SUCCESS STORY****We presented the merits of our case to the panel and the Tribunal determined that our appeal was to be accepted, in part, and ordered a reduction in the Rateable Value from £367,000 to £335,000, backdated to 1 April 2010. Giving our client a cash rebate of £82,937! However, upon receipt of the decision, we noticed an anomaly in the way the reduction had been estimated. In analysing the Tribunal’s determination, we uncovered errors in the way the new figure had been calculated. We therefore approached the Tribunal with our queries and, having accepted their errors, they subsequently re-issued an amended determination of the appeal, now at a Rateable Value of £325,000.
THE VERDICT****This demonstrates the importance of due diligence in all aspects of our work. In this case, a simple but thorough analysis of the determination led to a further £10,000 reduction in our clients’ Rateable Value.
After the final assessment, the cash refund and rebate achieved for the client was £127,415!