In this section
Claire's, Isle of Wight
Instructions were received from a national retailer to negotiate the dilapidations claim on one of their closed stores.
The Landlord served a Schedule of Dilapidations (a report that provides a precise breakdown of repairs that must be scheduled to reinstate a property to its original condition as stated in the lease agreement) at £95,000.
On behalf of the former Tenant, our Building Surveyor assessed the Schedule at £40,000.
Like with many high streets across the UK, Newport (IOW) was seeing a high supply of retail units. As such, there was limited demand, and it was likely that the property would be occupied by a temporary tenant in the short-medium term.
As a result, much of the internal strip out agreed between the Building Surveyors would not be required as the current fixtures and fittings would be reused by a new tenant. Utilising this knowledge, we arrived at a reduction (also known as Diminution) of £20,000.
A settlement was then reached at £25,000, providing the client with a swift conclusion at considerably less than the Landlord’s Claim.