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Choose the High Street logoWhy Choose the High Street?

The high street is still the heart of the local community, a place where people meet and new businesses start. If you have always wanted to start your own business or have a new idea for a community project that you want to try, why not ‘Choose the High Street’ and set up a pop-up unit?

 

Pop-Up Units – What are they?

A pop-up unit is where a short-term lease (usually for a period less than six months) is agreed between a landlord and a business or community project, enabling them to use a vacant property for a short period of time. Although the concept of a pop-up unit is mostly associated with shops, pop-up units on the high street can also be utilised for a number of activities including art galleries and community projects.

 

Pop-Up Units – How are they beneficial to a new business or community project?

Pop-up units are an excellent opportunity to try out a new business and see if the concept works before making a long-term commitment. They also offer community projects and charities a great way to reach a much wider audience.

 

Pop-Up Units – How are they beneficial to a landlord?

  • They can generate a small rental income;
  • Having a tenant will improve the appearance of the property;
  • A pop-up raises the awareness of the property to potential tenants;
  • Pop-up units improve the vibrancy of the high street & attract new customers;
  • Tenants provide additional security for a property;
  • An occupied property will deter vandalism;
  • Having a pop-up potentially lowers a property’s insurance premiums.

 

Pop-Up Units – Who pays Business Rates?

For the duration that a pop-up idea occupies the property, the responsibility for payment of business rates passes from the landlord to the tenant.

Useful points to note:

  • Occupied properties with a rateable value of
    • £6,000 or less qualify for 100% Small Business Rate Relief
    • between £6,001 and £12,000 qualify for a reduced amount of relief (e.g. 50% relief for a £9,000 rateable value);
  • When a pop-up unit is occupied by a registered charity they will be eligible for 80% business rate relief;
  • If a business occupies a retail property before 1 April 2015, which has previously been unoccupied for at least 12 months & the rateable value is no more than £45,000, the new business can claim 50% rate relief for the first 12 months of occupation;
  • When a landlord is paying empty property rates on a non-industrial premises, having a tenant occupy a property for at least 6 weeks allows the landlord to subsequently claim a 3-month rate exemption from the date that the property becomes vacant again (the tenant may claim some of this relief if they leave the premises before their lease ends).

 

Pop-Up Units – What about Planning Consent?

Before embarking on a pop-up unit project, contact the Council’s planning department for some helpful advice and guidance on how planning consent relates to pop-up units. Telephone 01495 235268 or email planning@caerphilly.gov.uk.

 

Temporary Lease Agreement

A temporary lease between the landlord and pop-up business should include:

  • Length of tenancy;
  • Responsibility for utility payments (gas, water & electricity);
  • Responsibility for security of the property;
  • Responsibility for condition of the premises and any fittings, including a photographic schedule of condition;
  • Responsibility for any damage to the property.

 

Suggestions to help get started with a pop-up unit project

Step 1

Look through Caerphilly County Borough Council’s online Retail Property Directory, which contains a full list of all vacant shop units in CaerphillyBlackwood, Bargoed, Risca and Ystrad Mynach town centres. The online Retail Property Directory shows a photograph of each vacant property and provides the contact details for the marketing agents.

Step 2

Produce a summary of your business case (one sheet of A4). Be clear and concise, emphasising the benefits to the landlord of your business or project turning their empty property into a pop-up unit.

Step 3

Approach the agent who is marketing the property and ask them to help you present your business case to the landlord.

Step 4

Once the landlord has approved your business case, you will need to agree a short-term lease.

 

 


 

More information

If you would like to discuss starting a pop-up unit in any of Caerphilly County Borough’s principal town centres contact Town Centre Management on 01443 866213 or 01443 866393 or email retail@caerphilly.gov.uk

Please note that Caerphilly County Borough Council cannot give you legal advice and, if you are in any doubt, you should obtain your own independent advice.

 

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