RICS – new statement on service charges in commercial property

The Royal Institution of Chartered Surveyors (RICS) has announced a new edition of Service Charges in Commercial Property, due to take effect from 1 April 2019.

The aims and objectives of this professional statement are to:

  • Improve general standards and promote best practice, uniformity, fairness and transparency in the management and administration of services charges in commercial property
  • Ensure timely issue of budgets and year-end certificates
  • Reduce the causes of disputes and to provide guidance on resolution, and
  • Provide guidance to solicitors, their clients (whether owners or occupiers) and managers of service charges in the negotiation, drafting, interpretation and operation of leases, in accordance with best practice.

 If you are a party to a commercial lease or if you are in the process of negotiating a lease, you should consider this development.