Duchess of St AlbansApplicantNorthumberland & Durham Property Trust LimitedRespondentDuchess of St AlbansTenantNorthumberland & Durham Property Trust Ltd , C/O Grainger PLCLandlord
Before
R Waterhouse FRICSDate 10 May 2024Property: 16 Ovington Street, London SW3 2JBType of application: Determination of a Fair Rent under section 70 of the Rent Act 1977
DECISION
[1]The fair rent is £7907.50 Per Quarter (excluding water rates and council tax but including any amounts in paras 3&4) The effective date is 10 May 2024 The amount for services is not applicable Per[4]The amount for fuel charges (excluding heating and lighting of common parts) not counting for rent allowance is not applicable Per The rent is not to be registered as variable.[6]The capping provisions of the Rent Acts (Maximum Fair Rent) Order 1999 apply (please see calculation overleaf).[7]Details (other than rent) where different from Rent Register entry n/a[8]For information only:(a) The fair rent to be registered is the maximum fair rent as prescribed by the Rent Acts (Maximum Fair Rent) Order 1999. The rent that would otherwise have been registered was £ 7907.50 per quarter. Chairman R Waterhouse FRICS Date of decision 10 May 2024 MAXIMUM FAIR RENT CALCULATION LATEST RPI FIGURE X 383 PREVIOUS RPI FIGURE Y 308.6 X 383 Minus Y 308.6 = (A) 74.40 (A) 74.40 Divided by Y 308.6 =(b) (B) 0.241 First application for re-registration since 1 February 1999 NO If yes (B) plus 1.075 =(c) (C) If no (B) plus 1.05 = (C) 1.291 Last registered rent* £6125 Multiplied by (C) = 7907.37 *(exclusive of any variable service charge) Rounded up to nearest 50p = 7907.50 Variable service charge NO If YES add amount for services MAXIMUM FAIR RENT = £7907.50 Per quarter Explanatory Note[1]The calculation of the maximum fair rent, in accordance with the formula contained in the Order, is set out above.[2]In summary, the formula provides for the maximum fair rent to be calculated by:(a) increasing the previous registered rent by the percentage change in the retail price index (the RPI) since the date of that earlier registration and(b) adding a further 7.5% (if the present application was the first since 1 February 1999) or 5% (if it is a second or subsequent application since that date). A 7.5% increase is represented, in the calculation set out above, by the addition of 1.075 to (B) and an increase of 5% is represented by the addition of 1.05 to (B). The result is rounded up to the nearest 50 pence.[3]For the purposes of the calculation the latest RPI figure (x) is that published in the calendar month immediately before the month in which the Tribunal’s fair rent determination was made.[4]The process differs where the tenancy agreement contains a variable service charge and the rent is to be registered as variable under section 71(4) of the Rent Act 1977. In such a case the variable service charge is removed before applying the formula. When the amount determined by the application of the formula is ascertained the service charge is then added to that sum in order to produce the maximum fair rent. --- decision_2.pdf --- FR27 First-tier Tribunal – Property Chamber File Ref No. MAM/LON/00AW/F77/2023/0345 Notice of the Tribunal Decision Amended under The Tribunal Procedure (First Tier Tribunal) (Property Chamber) Rules 2013, Rule 50 “clerical mistakes, accidental slips or omissions) Rent Act 1977 Schedule 11 Address of Premises The Tribunal members were 16 Ovington Street, London, SW3 2JB R Waterhouse FRICS Landlord Northumberland & Durham Property Trust Limited Tenant Duchess of St Albans[1]The fair rent is £7907.50£7200.00 Per quarter (excluding water rates and council tax but including any amounts in paras 3&4) The effective date is 10 May 2024[3]The amount for services is n/a Per n/a negligible/not applicable[4]The amount for fuel charges (excluding heating and lighting of common parts) not counting for rent allowance is n/a Per n/a negligible/not applicable The rent is not to be registered as variable.[6]The capping provisions of the Rent Acts (Maximum Fair Rent) Order 1999 apply (please see calculation overleaf).[7]Details (other than rent) where different from Rent Register entry n/a[8]For information only:(a) The fair rent to be registered is the maximum fair rent as prescribed by the Rent Acts (Maximum Fair Rent) Order 1999. The rent that would otherwise have been registered was £ 7907.50 per quarter. Chairman R Waterhouse FRICS Date of decision 10 May 2024 FR27 MAXIMUM FAIR RENT CALCULATION LATEST RPI FIGURE X 383 PREVIOUS RPI FIGURE Y 308.6 X 383 Minus Y 308.6 = (A) 74,40 (A) 74.40 Divided by Y 308.6 =(b) (B) 0.241 First application for re-registration since 1 February 1999 YES/NO If yes (B) plus 1.075 =(c) (C) If no (B) plus 1.05 = (C) 1.291 Last registered rent* £6125 Multiplied by (C) = 7907.37 *(exclusive of any variable service charge) Rounded up to nearest 50p = 7907.50 Variable service charge YES / NO If YES add amount for services no MAXIMUM FAIR RENT = £7907.50 Per quarter Explanatory Note[1]The calculation of the maximum fair rent, in accordance with the formula contained in the Order, is set out above.[2]In summary, the formula provides for the maximum fair rent to be calculated by:(a) increasing the previous registered rent by the percentage change in the retail price index (the RPI) since the date of that earlier registration and(b) adding a further 7.5% (if the present application was the first since 1 February 1999) or 5% (if it is a second or subsequent application since that date). A 7.5% increase is represented, in the calculation set out above, by the addition of 1.075 to (B) and an increase of 5% is represented by the addition of 1.05 to (B). The result is rounded up to the nearest 50 pence.[3]For the purposes of the calculation the latest RPI figure (x) is that published in the calendar month immediately before the month in which the Tribunal’s fair rent determination was made.[4]The process differs where the tenancy agreement contains a variable service charge and the rent is to be registered as variable under section 71(4) of the Rent Act 1977. In such a case the variable service charge is removed before applying the formula. When the amount determined by the application of the formula is ascertained the service charge is then added to that sum in order to produce the maximum fair rent.