A row over rents between coffee group Bewley’s and its landlord, Ickendel Ltd, part of the Treasury Holdings Group, has come before the High Court.
The case is of “vital importance” to the financial survival of Bewley’s Grafton Street cafe, the court was told. At issue is the €1.5 million rent on that cafe, set several years ago with built-in five-year reviews.
The case is regarded as a test case in the contentious area of upward-only rent review lease agreements.
Bewley’s says the issue could not be of more vital importance to its financial survival and it contends the lease allows rents to fall as well as fluctuate upwards.
Ickendel Ltd has claimed rents cannot fall under the terms of the decades-old agreement.
Mr Justice Peter Charleton yesterday heard legal submissions and will give his judgment later. The case hinges on the interpretation of a key clause in the lease agreement dating to August 1987.
Ickendel Ltd, part of Treasury Holdings whose loans have been transferred to Nama, wants a declaration the terms of the lease mean the rents cannot be reduced.
