Issue - meetings
Lease Renewal at Sutton Street Depot, 6 Sutton Street, London, E1 0AY
Meeting: 22/09/2021 - Cabinet (Item 6)
6 Lease Renewal at Sutton Street Depot, 6 Sutton Street, London, E1 0AY 
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Additional documents:
Decision:
Pre-Decision Scrutiny Questions and officer responses were noted.
DECISION
1. To grant a new 3-year lease, excluding security of tenure, to the existing occupier of 6 Sutton Street at a rent of £125,000 per annum, subject to an initial 12 month rent free period.
2. To approve the repayment of £80,000 in arrears by virtue of an up-front payment of £40,000 with the balance payable after 3 months after completion of the lease.
3. To agree a Schedule of Works with the tenant to be appended to the lease and to be completed within 6-months of completion. These works are appended at Appendix 1 to the report.
Action by:
CORPORATE DIRECTOR, PLACE (A. SUTCLIFFE)
(Interim Head of Asset Management (S. Shapiro)
Minutes:
Councillor Mufeedah Bustin, Cabinet Member for Social Inclusion (Job Share as part of wider Social Inclusion and Public Realm Portfolio), introduced the report proposing a lease renewal at Sutton Street Depot. The longer term aim was to develop the site and so it was proposed for the short term to rent out use of the site. The new lease required the leaseholder to undertake improvement works on the building.
Councillor Peter Golds, Leader of the Conservative Group, highlighted that the site had been unused for a number of years and it was important to ensure the site could be secured from the current tenant at the point of redevelopment.
Officers confirmed that the tenant will not have rights to the property at the point where the Council wishes to reclaim the site.
The Mayor welcomed the report but also highlighted that he was looking forward to the opportunities that would arise once the site was ready for redevelopment. He noted the Pre-Decision Scrutiny Questions and officer responses. Finally, he noted that the proper processes had been undertaken in preparing the proposals listed in the report and he stated that he welcomed any scrutiny on this matter. He proposed the recommendations as set out in the report and these were unanimously approved by those present and it was:
RESOLVED
1. To grant a new 3-year lease, excluding security of tenure, to the existing occupier of 6 Sutton Street at a rent of £125,000 per annum, subject to an initial 12 month rent free period.
2. To approve the repayment of £80,000 in arrears by virtue of an up-front payment of £40,000 with the balance payable after 3 months after completion of the lease.
3. To agree a Schedule of Works with the tenant to be appended to the lease and to be completed within 6-months of completion. These works are appended at Appendix 1 to the report.