Category: Professional

Kinney Green has recently been appointed by National Grid to identify and acquire land in South London between Wimbledon and New Cross as part of their London Power Tunnels Project, Phase 2. The project will create a new electricity superhighway deep below the capital to enable increased capacity in order to meet London’s ever increasing electricity demand.

Tunnel drive sites, intermediate shafts and head houses are required at key points along the route to ensure the safety during construction, provide access to the tunnel for maintenance work and to store ventilation equipment.

Kinney Green are specialists in the London market and are able to advise on the physical and viability constraints of land acquisition as well as identify off-market opportunities for site assembly.

Kinney Green advised Firezza in acquiring their first specific A3 restaurant in prime Soho.

A 2,500 sq ft restaurant in Dean Street is now trading offering a new venture for a long established client purchased in 2016 by Pizza Express. Kinney Green having historically assisted in acquiring a number of their units around greater London.

We wish the company continued further success.

Newbigin v Monk [2017]

The Supreme Court has overturned a judgement by the Court of Appeal, ruling in favour of the ratepayer in landmark case for buildings undergoing extensive refurbishment and development.

The long running case was concluded with the Supreme Court favouring the ratepayer (Monk), who’s property located in Sunderland, was undergoing extensive redevelopment.  The property was stripped out, removing services and fit out. Monk submitted an appeal during the works for the Rateable Value (RV) to be reduced to £1, on the basis of a ratepayer not having ‘beneficial’ occupation on the Material Day.

However, the Valuation Office produce an argument that the property should be assessed on the basis on an amount that a hypothetical tenant would pay a landlord, with the use and condition of the property subject to assumptions.  The key assumption being that the property was in a fair state of repair unless the landlord deemed it uneconomic to put the property back into repair.

In this case, the Valuation Office argued that it would be economic to reinstate the property on the Material Day, and therefore valued property as if it were occupied, with the Rateable Value being £102,000.

The Supreme Court overturned the Valuation Office’s argument, on the basis that it was not taking into account the rating valuation hypothesis of ‘Presumption of Reality.’ They deemed that the property was in fact undergoing genuine redevelopment and therefore should value on whether beneficial occupation can take place, before consideration of any state of repair.    Therefore those properties that are not capable of ‘beneficial’ occupation should have their Rateable Value reduce to a nominal rate.

The effect of the ruling is such that the large amount of outstanding appeals will need to replicate the decision above; however there is still uncertainty as to whether the Valuation Office will settle the back log with a prudent approach.

The Kinney Green professional team has recently concluded rent review negotiations on behalf of Kucher & Partners at 1 Plough Place in London’s Mid-Town market.

Neil Warwick who leads the Kinney Green Mid-Town Agency Department originally acquired the space for Kucher & Partners in 2011, a firm who are a long standing client of Kinney Green.

The area surrounding 1 Plough Place has recently been transformed by the adjacent New Street Square development and the recently completed New Fetter Place which alongside considerable market movement in the Holborn area made the rent review particular challenging.

Notice was originally served at £542,000 per annum representing a proposed increase of 40%. Through detailed analysis of the market and lease rent review provisions, agreement was eventually reached at £483,000 per annum, representing an overall saving of £295,000 over the next 5 years from the landlord’s original proposal.

Mark Billige – Kucher & Partners Managing Partner:

“We have worked with Neil and his team for over 10 years and have always appreciated their advice and expertise. They know the local market inside and out and have always been provided grounded and hands-on support”

Should you have an upcoming rent review or wish to discuss any landlord or tenant matters generally, please contact the Kinney Green professional team.

The Kinney Green professional department has this week concluded successful rent review negotiations on behalf of the Grosvenor Hotel at 92 Park Lane. The property is tenanted by Foxtons Estate Agent and the final agreement reached represents a 110% rental increase and will give an additional £600,000 income to the hotel over the next 5 years.

Should you have an upcoming rent review or wish to discuss any landlord or tenants matters generally then please contact the Kinney Green professional team.