Decision details

Revision in rent of the Leases dated 1/12/16 of Units 7 & 8 Midleton Industrial Estate leased to Wilson Electrical Distributors Ltd.

Decision Maker: Joint Executive Head: Assets and Property

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: No

Decision:

To approve the reviewed rent of the above properties leased to Wilson Electrical Distributors Ltd. The properties are held on 2 separate leases though the leases are virtually identical.
In accordance with clause 7 of the leases, the annual combined passing rent of £70,000 has been reviewed as at 1/12/21 (Note: rent to be backdated only to date that the head lease was surrendered – 4/5/23) and it is proposed to increase it to £77,100.

These units were occupied at the surrender date in May 23. The former head lessee had failed to trigger the 12/21 rent reviews. Accordingly, post surrender we decided to trigger the reviews and after a period of negotiation our consultant recommends the matter is concluded - the reviews being broadly in line with market evidence at the review date.

A memorandum will be endorsed on the lease recording this review.

If you have any queries, then please contact Charles Wood who will be happy to provide further information.

Reasons for the decision:

In accordance with good estate management practice.

Alternative options considered:

The decision meets the statutory requirements for the Council and there were no alternative options available.

Source of Authority to take Decision:

Council’s 21/7/2023 Constitution Part 3, Page 3-65 Para 4(a).

Publication date: 22/02/2024

Date of decision: 21/02/2024