Pictured above: Alex Robinson

Landlords need to monitor their business tenants much more closely as the business squeeze tightens in the New Year, lawyers in Stratford-upon-Avon are warning.

Lodders associate Alex Robinson said the ongoing cost of a tenant going bust could be huge for a commercial property owner.

"Not only are you most likely faced with rent arrears you may be faced with the costs of business rates and utility bills to keep the premises secure and viable.

"There may be abortive attempts to secure new tenants, with all the consequent time delays and further loss of rental and the liabilities can soon mount up," she said.

She stressed that investors, particularly individuals or family trusts, needed to ensure they were aware of the true liabilities of owning land and property.

"And it is not just tenants going bust or doing a moonlight flit that you need to be concerned about, there is also the cost of vandalism or tipping," she said.

She cited one instance where a landowner had 1,000 tyres dumped on her land by flytippers and it cost her £1.50 per item to have them removed.

"When you consider buying business property to rent out, it is all to easy to look at the quoted rental and multiply that by 12 months as though that will be your annual income from that property, but in tight economic times you need to ensure that you have the resources to carry you through periods when the property will be empty but you still have bills to pay.

"For example, during this extremely cold snap, it is important to ensure that some level of heating is maintained in an empty property and this has consequent cost implications," she stressed.

For more information about Lodders, please visit their website here: www.lodders.co.uk