1. home and garden

LITIGATION FORUM
NEWSLETTER
Welcome to the first Litigation Forum newsletter!
Expert witness, litigation and mediation work form a key part of both Knight Frank’s
residential and commercial businesses. The Litigation Forum was created over two
years ago to showcase our expertise in this field and to offer a full range of
services across all property related litigation.
Every Sector Covered
It is rare that a dispute leads to a
requirement for evidence that is
based on a single asset.
Whether it be commercial
litigation, a matrimonial breakup or otherwise, the case may
encompass a portfolio that includes
a range of property types that a
single, roving expert would not
have the specialist knowledge to
advise on.
Where a case is complex and
involves a wide range of assets, our
experts work as a team to provide
the right advice from the outset,
matching the right expert to the
right property or issue and keeping
the case on track. Each enquiry is
the responsibility of a single point
of contact, ensuring all evidence
is received on time and giving
adequate time for legal solicitors
and counsel to give their input.
Whilst too diverse to list individually,
our expertise includes the
valuation of residential property in
prime central London, leasehold
extension and enfranchisement,
commercial rent reviews and lease
renewals, rural estates, boundary
disputes, building surveys and all
matters that relate to negligence. It
would be fair to say that we have
every sector covered.
RECENT SUCCESS STORIES
Huntsmore House, Kensington
Blomfield Road, Maida Vale
Leasehold Reform’s Robert Orr-Ewing,
with help from the legal team, won a case
for Huntsmore House (Freehold) Ltd.
The property consisted of 84 flats with
communal gardens and a swimming pool.
Prices for the flats had been agreed at
£2,262,103 plus porter’s flat and storage rooms. The landlord had claimed an
extra £8.5 million for five extra houses
that he intended to build in the garden,
which would have necessitated moving
the existing swimming-pool complex.
The tribunal agreed with Robert that the
landlord did not have any development
rights under the lease and due to this he
was only entitled to a gambling-chip of
£10,000 which Robert had proposed.
Vanda Kelsey in Leasehold Reform recently appeared at the First Tier Tribunal
on behalf of the Church Commissioners
in respect of the premium to be paid for
the freehold of a house. The property, in
Blomfield Road, W9 had just over five
years remaining on the lease and Vanda
argued that the generic deferment rate
of 4.75% should be reduced to a net
rental yield of 2.25%. The tribunal agreed
with her, and as a result, the premium
was almost £500,000 more than it
would otherwise have been. Overall, the
tribunal determined a premium of over
£8,500,000, around £2,500,000 higher
than the lessee was contending for.
The landlord has leave to appeal to the
Upper Tribunal.
The tenant was refused leave to appeal,
but is challenging the decision by
judicial review.
continued on the next page...
LITIGATION FORUM NEWSLETTER
International House, Newmarket
for costs having regard to Part 36 offers
made and a satisfactory agreement was
subsequently reached with the landlord
on costs.
Leven Road, Poplar
Simon Warren of Knight Frank Logistics
and Industrial was appointed by
International Valves Ltd to advise on
a lease renewal on this 25,181 sq ft
warehouse in Newmarket. The landlord
used to own the business but sold the
business and retained the freehold of
the property which they leased to the
business. The landlord contended for
an uplift in rent to £200,000 pa and the
tenant a reduction in the passing rent
of £185,000 pa. Despite exhaustive
negotiations an agreement was not
reached. Simon presented the case to
Cambridge County Court for a reduction
in the passing rent and a decrease in rent
to £172,000 pa was determined by the
judge. The judge held the landlord liable
It is well known that the party seeking
to terminate a lease must follow
precisely the conditions stated in the
break clause including the payment
of rent.
We recognise that it remains
imperative that break strategy should
be led by a client’s legal team.
However some conditions can require
surveying advice, for instance where
the tenant must fully or materially
comply with repairing provisions on
the break date.
Residential
Robert Orr-Ewing
Leasehold Reform
robert.orr-ewing@knightfrank.com
+44 207 861 1430
Jeremy Dharmasena
Leasehold Reform
jeremy.dharmasena@knightfrank.com
+44 207 861 1587
Simon Warren was also appointed by
Secure Services Ltd and London Borough
of Tower Hamlets to act as joint sole
expert on the rental value of 2.5 acres of
industrial land in close proximity to the
Olympic Zone in respect of contested
lease renewal proceedings. A rental
determination was made by Simon who
assisted in resolving the dispute between
the parties.
James Thompson
Residential Valuations
james.thompson@@knightfrank.com
+44 207 861 1075
Justin Mason
Residential Valuations
Justin.mason@knightfrank.com
+44 207 861 5029
James Del Mar
Rural Consultancy
james.del.mar@@knightfrank.com
+44 1488 688507
Commercial
BREAK OPTIONS
Cases continue to appear at court
showing commercial tenants are
not always complying with break
conditions and, where rent has
been paid in advance for a period
beyond a break date, reversing
previous law.
CONTACTS
With litigation on this topic area
continuing, early and thorough break
strategy planning is advised for
tenants. For landlords, recent cases
have gone in their favour which
justifies ensuring tenants have validly
complied with all conditions before
acknowledging so.
Knight Frank have a proven track
record of working with our clients’
retained solicitors to advise on break
option strategy and compliance.
These success stories demonstrate a
small example of the day to day work
we do, and can help you with. Please
contact any member of our team to
find out more.
Andrew Tyler
City Offices
andrew.tyler@knightfrank.com
+44 207 861 1319
Ben Glickman
West End Offices
ben.glickman@knightfrank.com
+44 207 861 5173
Hazel Morris
Commercial Valuations
hazel.morris@knightfrank.com
+44 207 861 1296
Simon Warren
Logistics and Industrial Offices
simon.warren@knightfrank.com
+44 207 861 1155
Ashley Drewett
M25 Offices
ashley.drewett@knightfrank.com
+44 207 861 1156