This article was first published on Lexis®PSL Property on 24 January 2019.
Fiona Sawyer, professional support lawyer in the planning team at Herbert Smith Freehills LLP, and Frances Edwards, senior associate and specialist real estate litigator at the firm, point out that although the government’s ‘open doors’ scheme will certainly help reinstate the high street as a destination for the community, the reality is that town centre rents need to be cheaper and action taken to ameliorate the cost of business rates to enable community uses to occupy town centre premises on a longer-term basis.
Author: Lisa Bazalo, Associate (New Zealand), Planning, Real Estate, London
A publication that has caught the attention of many in the industry this week is the government-commissioned ‘Independent Review of Planning Appeal Inquiries.’ The review, chaired by economist Bridget Rosewell CBE, was tasked in June last year with assessing how planning appeal inquiries could be made quicker and better. The report makes 22 recommendations aimed at reducing the time it takes to conclude planning inquiries, while maintaining the quality of decisions.
British Property Federation (BPF) director of strategy and external affairs, Ghislaine Halpenny, sits down with Matthew White, partner and head of UK planning, to discuss planning, its ever-changing nature and the direction it is taking.
Also published on the BPF soundcloud for the BPF Futures network, a networking and development group for junior professionals working in all areas of UK real estate.
For further information please contact:
Matthew WhitePartner and Head of UK planning, LondonEmail
+44 20 7466 2461
In this podcast, Herbert Smith Freehills’ Matthew Bonye and Tom Leech QC discuss the important Canary Wharf Group v European Medicines Agency court case. This case is highly relevant to real estate development. The tenant, the European Medicines Agency (EMA), argues that Brexit is a frustrating event for its lease and that it can assert that the lease is thereby terminated. If EMA wins, then it can only be on the basis that the law of frustration is considerably wider than it is currently thought to be: until now, there is no English case where a lease has ended due to frustration. If a lease can come to an end due to frustration, then how will this affect investment values and therefore development appraisals, particularly for longer-term commercial leases such as those for anchor tenants or whole building lets to major banks and other institutions, often a key element of a development scheme? Matthew Bonye and Tom Leech QC discuss how the law of frustration has developed and whether this may open the floodgates for other claims by tenants where the parties have not legislated in their lease for an unexpected turn of events in the future.
Our Brexit Hub has further in-depth, sector-by-sector Brexit analysis.
Author: Charlotte Dyer, Of Counsel, Planning, Real Estate, London
From 25 January 2019 (although see here for our commentary on the ambiguity surrounding the actual date), local planning authorities must use the new standard methodology for assessing housing need set out in the National Planning Policy Framework published in July 2018 (“NPPF”). As part of our ‘back to basics’ blog series, this blog post explores:
Author: Charlotte Dyer, Of Counsel, Planning, Real Estate, Herbert Smith Freehills
This Thursday is 24 January 2019, a hotly anticipated date in the planning world because this is the date referred to in the revised National Planning Policy Framework (“NPPF”) as the date after which the policies in the revised NPPF will apply for the purposes of examining local plans. Paragraph 214 of the NPPF states that the policies in the old 2012 NPPF will continue to apply to the examination of plans submitted “on or before 24 January 2019“.
However, a technical consultation (‘Technical consultation on updates to national planning policy and guidance’) published by the government in October 2018 states at paragraph 20 that:
… The use of the standard method applies to plan-making for plans submitted on or after the 24 January 2019 [our emphasis]. Any period specified for using the 2014-based projections would use this as the start date.
Paragraph 21 of the technical consultation goes on to say that:
… there are approximately 50 plans that will be submitted for examination in 2019. Any of these plans that are submitted on or after the 25 January 2019 [our emphasis] will be required to use the standard method to inform strategic housing policy.
Our view is that the adopted NPPF must take precedence over a consultation document, even one published after the NPPF, and therefore it is clear that the policies in the old 2012 NPPF will continue to apply to the examination of plans submitted on 24 January 2019, notwithstanding the inconsistency in the dates referred to in the technical consultation. However, local authorities who want to be absolutely sure should submit their plans for examination before Thursday if possible, ie tomorrow. Continue reading
Following their blog post of 9 November 2018, in this podcast Herbert Smith Freehills partners Neil Warriner and Will Arrenberg and senior associate Casey Dalton discuss the recent changes affecting the UK REIT regime introduced in the Finance Bill 2018 and their potential impact of UK real estate investment structures. Continue reading
Authors: Fiona Sawyer, Professional Support Lawyer, Kate Wilson, Professional Support Lawyer and Frances Edwards, Senior Associate, Real Estate
Two key themes of the Budget on 29 October 2018 were increasing the supply of housing and improving the health of high streets and town centres. Published with the Budget was the consultation ‘Planning reform: supporting the high street and increasing the delivery of new homes’. Also announced was the government’s ‘Open Doors’ project, aiming to help improve the vitality of town centres by facilitating meanwhile use of vacant units. The ‘Planning reform’ consultation closes on 14 January 2019. A call for applications from landlords who wish to pilot the Open Doors project closes on 31 December 2018. We have prepared a briefing for clients, summarising key proposals that will be of interest to retail landlords, developers and advisers and assessing how these might impact new or existing developments and the lettings of these assets.
Author: Stephanie Trompeter, Senior Associate, Real Estate Disputes, London
In October, we wrote about the Supreme Court case S. Franses Ltd v The Cavendish Hotel (London) Limited  UKSC 62, concerning a landlord’s ability to oppose a lease renewal under the Landlord and Tenant Act 1954 (the “Act”) using ground (f) (redevelopment). Yesterday, the Supreme Court handed down judgment in favour of the appellant tenant. On face-value, the implications of this case seem to be tenant-friendly; however, here we discuss further the commercial implications of the ruling for both landlords and tenants. Continue reading
Authors: Neil Warriner, Partner, Will Arrenberg, Partner, and Casey Dalton, Senior Associate, Real Estate Tax, London
It has been clear for some time that, from April 2019, non-UK residents would become subject to UK tax on gains when disposing of investments in UK commercial property or substantial interests in UK “property rich” vehicles. Whilst draft legislation has been produced and consulted on, a missing piece of the jigsaw has, until now, been details of how non-residents who invest through “collective investment vehicles” such as offshore property units trusts and other collective investment schemes (CIVs) would be taxed. Continue reading