3 - Lease Renewal – Renfrewshire House – First Floor South – Care Inspectorate
Renfrewshire Council · 25 January 2023
Back to Infrastructure, Land and Environment Policy Board — 25 January 2023 and its agenda
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___________________________________________________________________ To: Infrastructure, Land & Environment Policy Board On: 25 January 2023 ___________________________________________________________________ Report by: Chief Executive ___________________________________________________________________ Heading: Lease Renewal, Renfrewshire House, First Floor South – Care Inspectorate. ___________________________________________________________________ 1. Summary 1.1 The Care Inspectorate have terminated their existing lease which will end on the 30 March 2023. They wish to renew on varied terms to allow more flexibility. ___________________________________________________________________ 2. Recommendations 2.1 It is recommended that the Board grants authority to conclude a new lease of the First Floor South, Renfrewshire House on the varied terms outlined in this report. _________________________________________________________ 3. Background 3.1 The Care Inspectorate gave Renfrewshire Council formal legal notice of their intention to terminate their existing lease at the break option available to them on 30 March 2023. 3.2 The lease of the First Floor South originally ran for ten years from 31 March 2017 until 30 March 2027. The only break option was at 30 March 2023. The Care Inspectorate have chosen to exercise this option as their future office accommodation requirements are uncertain and the full period may not be required. They wish to stay in the space until 30 March 2028 but with annual break options to give comfort that they will be able to exit should that become necessary. 3.3 Varied terms have been agreed in principle. These are outlined below, the main points being, an extension in the period of the lease by one year, an increase in rent and an annual break option.
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4. Provisional Terms and Conditions Term – 5 years Commencement Date – 31 March 2023 Rent - £77,000 per annum from the Commencement Date exclusive of VAT, service charge, insurance, business rates and other outgoings payable as per the existing Lease. Rent Review – none Break Option – Annual tenant only break option. Notice Period – 6 months’ notice required to exercise break option. 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 the Council’s formal board approval and 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 income to Renfrewshire Council of £77,000. 2. HR & Organisational Development – None. 3. Community Planning – None. 4. Legal – New lease to be concluded. 5. Property/Assets – As per the report. 6. Information Technology – None. 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. 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.
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11. Privacy Impact – None. 12. Cosla Policy Position – N.A. _________________________________________________________ List of Background Papers None. ___________________________________________________________________ Author: Aileen Johnston, Principal Estates Surveyor
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