Project
Disagreement between the tenant and the landlord about the extent and cost of an end of lease dilapidations claim was severely stalling the sale of an independent national & international courier firm, based in the London home counties, to its employees by its founder ahead of retirement.
Approach
On referral from a mutual business contact, Eddisons Building Consultancy team was instructed by the founder to find a route through the impasse. A detailed lease review and inspection of the property was undertaken and liaison with the landlord to agree lease obligations and the extent of the tenant’s liability for the contested dilapidations claim.
Results
The final, agreed dilapidations claim was 39 per cent lower than the original sum set by the landlord. With the reduction agreed by all parties, the sale proceeded and the founder retired, with the new employee-owned company moving to new premises in the county.
This was one of a trio of dilapidations claims cases on behalf of tenant clients conducted by Building Consultancy team concurrently. All resulted in cost reductions.
In the case of a digital security solutions & services company in the West Midlands, there was a reduction of 40 per cent and a marketing agency, also West Midlands-based, benefitted from a final agreed dilapidations claim that saw an 80 per cent reduction from the landlord’s first figure.
"The dispute over the dilapidation claim financial settlement was proving very stressful and holding up the sale and my retirement plans.
“Involving Eddisons was always going to take the sting out of the situation. They were assiduous and professional in representing us and their interrogation of the lease terms and expert property knowledge was impressive. Myself and my former employees were very pleased to have the situation resolved so we could all move the deal forward to its resolution - not to mention the extent of the reduction of the claim.
“Even though the process took so long it was reassuring that Nick and his team were working on our behalf."
