The renewal of international information organisation Newsquest Specialist Media's lease at its City headquarters 30 Cannon Street, EC4 represented a challenge of a different kind to its adviser McCalmont-Woods. This was because the existing landlord, international investment manager RREEF, was at the same time negotiating to sell its freehold interest in the building.
An extensive review of the City office market suggested one option was to relocate to an alternative property. But McCalmont-Woods was able to persuade Newsquest's landlord of the merits of concluding a reversionary lease on its 12,000 sq ft offices. This solution provided RREEF with an income stream through the recession and enabled Newsquest to benefit from a low rent, together with additional lease flexibility and a service charge cap.