Reading, South Street

Lease regear

The Challenge

An office occupier wanted the ability to take more office space as they grew at their existing building. There were a number of other tenants in adjacent units with forthcoming lease expiries. The occupier wanted to have a right of first refusal on these other units.

The Solution

Campbell Gordon identified that these circumstances presented an opportunity for the landlord to enhance value, whilst granting the occupier the control they sought. This was done by granting the occupier an overarching lease of all the units, with sub-leases for the other tenants.

The Result

This solution gave the occupier control and the landlord a very substantially improved office investment.

'I would be very happy to recommend Campbell Gordon's asset management capabilities. They are very good at spotting the angles. For example they saw the opportunity to pull together leases across 3 of our office buildings, and regear to create a single headlease with various sub-tenants. This had a great impact on the yield, and cranked up the value nicely.

Chris Morgan - Managing Director, Monarch Securities.

 

Another Asset Management case study:
Reading, Green Park: Office re-configuration
Fleet, Sentinel House: Income enhancement
Wokingham, The Business Centre: Industrial lease regear
Theale, Theale Commercial Estate: Lease regears