Transparency data
FCO exemption spend data: property April 2014 to June 2014
Updated 12 September 2014
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| Tool Ref | Department | Organisation Name | Property name | Basis for expenditure approval | Total Value Approved (£M) | Date of approval |
|---|---|---|---|---|---|---|
| HMG1245 | FCO | FCO | GPU-LM-2463 / FCO Northgate House, Milton Keynes | The FCO leases four floors within Northgate House in Milton Keynes and each floor is held on a separate lease. The lease terms for each floor are identical apart from the rental amount which differs from floor to floor according to the floor area and parking allocations. Each floor is held on a 10 year fully repairing and insuring lease which commenced on 13th January 2009. The term is due to expire on 12th January 2019. There was a lease break option at the 6 year point, 12th January 2015, which could have been effected by providing the landlord with 9 months written notice. This would need to have been served by 13th April 2014. The existence of separate lease contracts for each floor means the FCO had the opportunity to vacate any or all of the floors at the lease break point. However, as there would have been a financial penalty for doing so, equivalent to 15 months rent plus VAT, and other cost factors, the economic case in favour of doing so was not viable. However, the FCO was able to negotiate an extended rent-free period for one of the leases yielding a one-off saving to the public purse of £127,000. On present plans the FCO will remain in Northgate house until the current lease expires in January 2019. A decision on whether to continue occupying the building after this date is part of an ongoing strategic review of the future of the Department’s UK estate. | £3,183,490 | 13/05/2014 |