Case Study Flashcards
What is the address of the unit?
Unit C, 38 Peregrine Road, Hainault, Essex, IG6 3SR
What was the size?
4,921 sq ft
There are 7 key pieces to remember!
What was the units specification?
Steel portal frame construction/ brickwork
Glazing
Steel-clad upper
Up-and-over roller shutter door
First floor office accommodation
2 WCs
5 parking spaces
Three key issues!
What were the key issues?
- Return property to most lettable state/ Market Appraisal
- Tenant Selection
- Negotiating
What were the three main issues to do with the market appraisal?
- Advising on works (mezzanine removal)
- Establishing market rent (occupation comps)
- Marketing strategy (3rd party websites, trade occupiers)
What were the three main issues to do with the tenant selection?
- Market Testing (rejected first proposal)
- Covenant assessment (management accounts, D&B)
- Permitted use (B1(c), B2, B8)
What were the three main issues to do with negotiating the HOTS?
- Rental (£14 to £15)
- Incentive (rental due from commencement)
- Break clause
What was the date on the HOTs?
5th October 2022
The landlord was…
Paul Croll & Colston Trustees as Trustees of the Curtis Bank SIPP
The tenant was…
Chigwell Window Centre Limited
The headline rent agreed was…
£15.00psf / £73,815 per annum
The term for the lease was…
5 years straight on FRI lease
The incentive was…
3 months rent free / rental deduction from the first year’s annual rent
The lease was in or outside the 1954 Act?
Outside
Terms on alienation…
The tenant will be able to assign or sub-let the whole premises only.
