Blackstone and Telereal publish charter for railway arch tenants

The new owners of the network of properties under railway arches across London and the UK have set out a charter to address the concerns of the thousands of businesses operating in them. Blackstone Property Partners and Telereal Trillium’s £1.46bn acquisition of the arches from Network Rail was one of last year’s most notable deals in the UK property market, but caused controversy, with the Guardian of the Arches set up to represent businesses in the properties who feared rising rents under new owners. Publishing its Tenants’ Charter today, Blackstone and Telereal’s Arch Company said it had spent months engaging with businesses based in the archway properties, the Guardians of the Arches and the Federation of Small Businesses. Announcing the charter, Adam Dakin, director of the Arch Company, said: “Our Tenants’ Charter is our public commitment to engage with all of our tenants and communities in an open and responsive manner. It sets out how we will address our tenants’ priorities in practice, make the arches better places to build, grow and run businesses and above all preserve the diverse and independent mix of businesses that make the arches so unique.” The new charter centres on four principles for the Arch Company: being an accessible and responsible landlord; providing an environment that helps businesses in the arches thrive; working in partnership with tenants to understand their worries about affordability; and creating a positive social and economic impact. Initiatives outlined in the charter include a 24-hour call centre, dedicated property managers for all tenants, bringing some 600 arches back into use, and offering some of the network’s unused arches to charities and local community groups. The Arch Company said in the charter that it recognised tenants’ concerns about rent levels and leases. It added that it will work individually with long-term tenants that face affordability issues, and may offer those businesses stepped rent increases, turnover leases or relocation. Mike Cherry, national chairman at the Federation of Small Businesses, said: “Today’s Tenants’ Charter includes important commitments on areas we have been keen to see – improved communications and responsiveness through the 24-7 contact centre and dedicated property manager, affordability and clarity at the heart of proposed rent reviews, and bringing potential new workspaces for business incubators. This is welcome at a time when financial pressure is mounting on small businesses across the UK.” To send feedback, e-mail tim.burke@egi.co.uk or tweet @_tim_burke or @estatesgazette