Army wins battle for Edinburgh rate cut

  The Army Careers Office in Edinburgh has been awarded a 5% reduction in its business rates because of disruption caused by building works on the city’s tramline.   The reduction will save the government body, advised by GVA Grimley, around £140 from its £2,800 monthly rates bill.   The decision is likely to set a precedent for other office tenants along the tramline route, which runs from Edinburgh airport through the city centre to Leith. Shop occupiers have already been granted a 20% reduction in rates.   GL Hearn’s head of ratings in Scotland, Bill Robb, said: “Other tenants will certainly see this as a benchmark – I will be looking at my client’s properties in Princes Street.”   Edinburgh council receives around £1.35m in rates a year from tenants on Princes Street, which has around 45 office occupiers. It could lose up to £700,000 pa because of the cut.   David Melhuish, director of the Scottish Property Federation, added: “This is definitely a precedent. With tramline works due to continue for the next two years, I am sure we will see further challenges to business rates on the back of this decision.”   Office tenants pay average rates of around £12 per sq ft.   The Lothian Assessor said that it planned to appeal against the committee’s decision to the Lands Valuation Appeal Court.   bridget.oconnel@rbi.co.uk