Purpose

To consider and agree the proposed lease arrangements.

Decision

Decision:

To agree to grant a reversionary lease to Heartwood Inns Limited at 2-4 South Hill, Guildford on the terms set out in Appendix 1, subject to the specific consent of the West Surrey Shadow Executive should this be required.

Reason(s):

The tenant holds a protected lease agreement with a term due to expire in April 2035. While protected the tenant is entitled to a new lease at the end of their current agreement, subject to no valid grounds for repossession. The grant of a reversionary lease removes the uncertainty at the end of the current term by securing the terms now and the Council income for a further 15 years.

Other options considered and rejected by the Executive:

To refuse the grant of a reversionary lease may leave the council exposed come April 2035 to the premises being returned and associated void costs.

Details of any conflict of interest declared by the Leader or lead councillors and any dispensation granted:

None.