Renewal of Lease - MSU 3 Market Walk - Iceland
To receive and consider the report of the Director of Commercial Services.
Additional documents:
Decision:
That the terms provisionally agreed for the grant of a new lease are approved and the Director of Governance be authorised to complete the legal formalities in accordance with these terms.
Minutes:
Councillor Peter Wilson, Executive Member for Resources presented the report of the Director of Commercial Services which sought authorisation for the grant of a new lease of Unit MSU 3 Market Walk to Iceland Foods Ltd. subject to terms provisionally agreed by the Council’s Consultant Surveyor, detailed in this report.
Decision:
That the terms provisionally agreed for the grant of a new lease are approved and the Director of Governance be authorised to complete the legal formalities in accordance with these terms.
Reasons for recommendations
Following extensive negotiations, the proposed terms have been agreed in conjunction with the Council’s Retail Consultants and reflect current market conditions within the Market Walk Centre in line with other leases on similar units which have been recently agreed/completed.
Other options considered and rejected
Termination of the lease and remarketing of the units. This was rejected on the grounds of potential loss of income and creation of voids and gaps of occupation in the Centre which would reduce footfall and detract from the marketability of other units and the value of the Centre.