GOAL

Our client owned a 2,500 sq.m. office in the South-east. The Tenant, a leading UK Financial Institution was proposing to operate their break option and vacate. Our client faced loss of rent and significant holding costs were the Tenant to go.

SOLUTION

Howell Commercial were appointed to explore all scenarios which could possible result from this lease event. This involved crystalising reinstatement liabilities, considering reposition of the building to service charge and exploring options to vary the current lease on more flexible terms.

Howell Commercial met with the Tenant and their professional team and engaged key landlord stakeholders during the process guiding the Landlord on likely outcomes.

RESULT

We agreed terms for the Tenant to retain the whole building on more flexible terms subject to a fixed rent increase.

This boosted returns and minimised void liabilities.