7 - Lease renewal of Telecommunications Installations - Report
Renfrewshire Council · 15 March 2023
Back to Infrastructure, Land and Environment Policy Board — 15 March 2023 and its agenda
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___________________________________________________________________ To: Infrastructure, Land & Environment Policy Board On: 15 March 2023 ___________________________________________________________________ Report by: Chief Executive ___________________________________________________________________ Heading: Lease renewal of Telecommunications Installations ___________________________________________________________________ 1. Summary 1.1 This report advises the Board on the provisional terms and conditions agreed for new leases of the telecommunications installations at Maxwellton Court & Glencairn Court, Paisley and Provost Close, Johnstone. ___________________________________________________________________ 2. Recommendations 2.1 It is recommended that the Board: 2.2 Authorise the Head of Corporate Governance in conjunction with the Head of Economy & Development to conclude new leases of the telecommunications installations at Maxwellton Court & Glencairn Court, Paisley and Provost Close, Johnstone on the basis of the terms and conditions detailed in this report. _________________________________________________________ 3. Background 3.1 EE Limited have been Council tenants at Maxwellton Court & Glencairn Court, Paisley and Provost Close, Johnstone for over 20 years and operate a mobile telecommunications network via installations sited on these rooftops. The leases are now running on a year to year basis at a current annual rental of £8,750 in the case of Glencairn Court, and £8,742.21 at the other two locations..
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3.2 The Electronic Communications Code (the Code) governs the rights of telecommunications operators, and was originally included within the Communications Act 2003. The Code was updated as part of the Digital Economy Act 2017. The main effect this has for the Council as a site provider is that financially, the income to be received will be reduced. Site providers will continue to receive some consideration and compensation, however this will no longer be in the form of an annual rental based on market value. The new Code has been in operation since December 2017 and since then, a number of Lands Tribunal decisions have established the basis for negotiating new lease agreements . 3.3 With the benefit of recent case law, discussions have taken place with representatives of EE Limited, and the following main terms and conditions have been provisionally agreed. ___________________________________________________________________ 4. Proposed terms and conditions of lease; 4.1 The existing leases shall be renounced at a mutually agreed date between both parties. This date shall also be the date of entry in the new leases. 4.2 The new leases shall be for a period of 10 years. 4.3 The new annual rents shall be £5,500 in year 1, £5,000 in year 2, £4,500 in year 3 and £4,000 in years 4-10. 4.4 The use shall continue as telecommunications installations only. 4.5 The tenant shall meet the Council’s reasonable legal and professional expenses incurred in concluding the new lease, capped at £3,000 in total. 4.6 All rent arrears, if any, shall be paid in full prior to concluding any new lease. 4.7 Note that the new lease must be concluded within 6 months from the date of this Board otherwise revised terms and conditions will be renegotiated. 4.8 Any other reasonable terms and conditions considered necessary by the Head of Corporate Governance and the Head of Economy & Development to protect the Council’s interest. ___________________________________________________________________ Implications of the Report 1. Financial – Annual rents as detailed above to be received. 2. HR & Organisational Development – None.
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3. Community Planning – Jobs and the Economy – Existing telecommunications services will be maintained. 4. Legal – New lease required. 5. Property/Assets – As per 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. 11. Privacy Impact – None. 12. Cosla Policy Position – Not Applicable. _________________________________________________________ List of Background Papers (a) N/A ___________________________________________________________________ Author: andrew.smith@renfrewshire.gov.uk
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