High Street Rental Auctions

The government has introduced High Street Rental Auctions (HSRAs). This is to empower local authorities to decrease the number of empty high street properties. The aim is also to improve local economies. We intend to use this power to support the regeneration of our town centres.

The auction process lasts for a 12-week period, and starts when the council sends the landlord a ‘final letting notice’. Landlords have a right to appeal the serving of a final notice on specified grounds. The requirements for the first ten weeks are set out in the regulations.

Landlord Requirements and Representations (Weeks 1-3)

Before the end of the third week, the landlord may be required to provide the following information:

• Full and accurate response to pre-contract enquiries for commercial property transactions, including any supplemental pre-contract enquiries relevant to commercial property on the grant of a tenancy
• Evidence of the landlord’s title to the property;
• And if available, copies of current safety and compliance certificates, if available, such as:
  • Electrical Installation Testing Certificate
  • Energy Performance Certificate (EPC)
  • Water Safety Certificate
  • Gas Safety Certificate
  • Fire Safety Certificate
  • Test certificate for any relevant mechanical, electrical or life safety systems
  • Fire Risk Assessment
  • Asbestos Survey (along with the Asbestos Management Plan, where applicable)

During this initial period, the landlord is also permitted to make representations. This is regarding the proposed terms of the agreement for lease and the tenancy itself.

Marketing and Bidding Period (Weeks 5-10)

The property is advertised, and people can make bids to rent during this time.

Restrictions during the Final Notice Period

During the final notice period, restrictions on granting leases or licences continue. The landlord also requires local authority consent for any works.

Providing inaccurate information or performing prohibited works during the notice period is a criminal offence punishable by a fine. If the landlord refuses to select a bid or sign the lease, the local authority may execute the documents on their behalf.

Thanet District Council has designated high street areas within its main town centres. These areas have been selected based on current vacancy rates, regeneration priorities, and the potential to support thriving local centres.

An interactive map of the areas designated in Margate, Cliftonville and Ramsgate can be found online.

A list of the streets within the designated areas is provided in this section.

Margate

• Cecil Square
• Hawley Street
• Herbert Place
• High Street
• Lombard Street
• Marine Drive
• Marine Gardens
• Marine Terrace
• Market Street
• New Drive
• Queen Street
• The Centre
• The Parade

Cliftonville

• Northdown Road

Ramsgate

• Harbour Parade
• Harbour Street
• High Street
• King Street
• Queen Street
• York Street

Property owners can challenge a final letting notice served by the council. Under the High Street Rental Auction process, they have the legal right to object or appeal.

Property owners may submit a counter notice within 14 days of the final letting notice taking effect.

The counter notice must be made on the prescribed form 3. Counter notices should be sent by post to: Property, Thanet District Council, Cecil Street, Margate CT9 1AY or emailed to propertyandassetmanagement@thanet.gov.uk

A landlord may object to a final notice on one or more of the following grounds:

• The vacancy condition has not been met (the property has not been vacant or underused for the required period).
• The property is not suitable for the type of use specified by the council.
• The landlord intends to carry out substantial works to the premises. These works could not reasonably be undertaken while a tenant is in occupation.

The council will review the counter notice and provide a written response within 14 days, deciding whether to:

• Withdraw the final notice, or
• Confirm the notice and proceed with the HSRA process.

The landlord can appeal to the County Court if they are dissatisfied with the council’s decision or if a withdrawal notice was not served in time. This appeal must be made within 28 days of the council receiving the counter-notice. The Court will decide to either revoke or confirm the final notice. Owners should seek independent legal advice.

The appeal must be brought on the ground(s) specified in the counter notice.

If the final notice is revoked, the process will stop, and if the final notice is confirmed, the process continues.

If no appeal is brought within the 28 days, the process will continue.

When making a counter notice or appeal, landlords are encouraged to include supporting documents, such as:

• Evidence of recent occupation or active marketing efforts.
• Planning permissions or building proposals relating to future use or works.
• Any relevant correspondence regarding the property’s use or planned disposal.

Please see the government’s High Street Rental Auctions – Non-Statutory Guidance. This provides more details on the High Street Rental Auction Process, including appeals.

If you have any questions about High Street Rental Auctions in Thanet, please contact the Property Team:

Email: propertyandassetmanagement@thanet.gov.uk