1. Renfrewshire Community Meals Service – Lease Extension - Report
Renfrewshire Council · 20 March 2024
Back to Infrastructure, Land and Environment Policy Board — 20 March 2024 and its agenda
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___________________________________________________________________ To: Infrastructure, Land & Environment Policy Board On: 20 March 2024 __________________________________________________________________ Report by: Chief Executive ___________________________________________________________________ Heading: Renfrewshire Community Meals Service – Lease Renewal ___________________________________________________________________ 1. Summary 1.1 The purpose of this Report is to seek authority to extend the lease of premises leased by Renfrewshire Council from landlord Sunflower Industrial Property Nominee Ltd at Unit 11, Baltic Business Park Paisley as shown on report plan E3265. This is for the purpose of continuing the Community Meals Services. ___________________________________________________________________ 2. Recommendations 2.1 The Board is asked to:- Authorise the Head of Corporate Governance to extend the lease of 11, Baltic Trade Park, Murray Street, Paisley, currently leased from landlord Sunflower Industrial Property Nominee Ltd, as shown on the attached report plan E3265, on the provisional terms and conditions outlined in this report and subject to such other conditions as may be considered necessary to protect the interests of the Council. _________________________________________________________ 3. Background 3.1 Renfrewshire Council currently lease in premises at Unit 11, Baltic Business Park, Murray Street, Paisley from landlord Sunflower Industrial Property Nominee Ltd for the provision of the Community Meals Service as there is currently no suitable property within the ownership of the Council. 3.2 The lease commenced on the 28 September 2007 for a period of 10 years. The lease was then extended for a further 5 years to expire on the 28th of September 2022.
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A further 18-month renewal was agreed from September 2022 until March 2024. The current rent is £26,000 + VAT, Service Charge and Insurance. 3.3 The Service Manager of Renfrewshire Health and Social Care Partnership has advised of the need to continue the Renfrewshire Community Meals Service. The maximum they can commit to is 18 months due to ongoing service reviews. 3.4 The landlord has agreed to a lease extension for three years with a break option at 18 months to allow for flexibility at a slightly increased rent. 4. Provisional Terms and Conditions Term of Extension – 3 years. Break option after 18 months on 6 months notice. Commencement Date – 29/03/2024 coinciding with the end of the existing lease period. Rent - £28,750 per annum from the Commencement Date exclusive of VAT, service charge, insurance, business rates and other outgoings payable as per the existing lease. Each party is responsible for their own legal costs incurred in this transaction. The tenant is responsible for any LBTT, VAT and registration dues payable. The above terms are subject to landlords formal board approval and the conclusion of formal missives. The lease transaction shall include such other terms and conditions as may be considered necessary by the Head of Economy and Development and the Head of Corporate Governance to protect the interests of the Council. ___________________________________________________________________ Implications of the Report 1. Financial - Annual rental of £28,750 +VAT, Service Charge and Insurance per annum. 2. HR & Organisational Development - None. 3. Community/Council Planning – Wealthier and Fairer – continuation of a popular and well used service. Smarter - None. Healthier – beneficial nutrition to client users. 4. Legal - Lease extension to be concluded. 5. Property/Assets - As per this report. 6. Information Technology – None.
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7. Equality & Human Rights - (a) The recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report because membership of both groups is open to all members of the community. If required following implementation, the actual impact of the recommendations and the mitigating actions will be reviewed and monitored, and the results of the assessment will be published on the Council’s website. 8. Health & Safety - None. 9. Procurement – None. 10. Risk - None. 11. Privacy Impact - None. 12. Cosla Policy Position – Not applicable. 13. Climate Risk – Not applicable. _________________________________________________________ List of Background Papers (a) None. ___________________________________________________________________ Author Aileen Johnston, Estates Lead, aileen.johnston@renfrewshire.gov.uk,07483 420781
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