REG - First Property Group - Landmark Coronavirus rent arbitration win

First PropertyAnnouncement

13/07/2022 10:45

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20220713:nRSM3323Sa&default-theme=true

RNS Number : 3323S  First Property Group PLC  13 July 2022

 Date:          13 July 2022
 On behalf of:  First Property Group plc ("First Property", "the Company" or the "Group")
 Embargoed:     1030hrs

 

First Property Group plc

First Property Group wins landmark Coronavirus rent arbitration

 

A fund managed by First Property Group plc (AIM: FPO), the property fund
manager and investor, has recovered £450,000 in rent arrears from Signet
Trading Ltd in the first known arbitration under the Commercial Rent
(Coronavirus) Act 2022.

 

The fund, Fprop Offices LP, owns Imperial Place, Borehamwood, Hertfordshire, a
220,000 ft(2) office complex in which Signet Trading Ltd ("Signet") leased
four floors. Signet, which operates the H. Samuel and Ernest Jones jewellery
store chains, unsuccessfully tried to claim that these offices should be
protected from rent debt under the Commercial Rent (Coronavirus) Act 2022, as
its retail stores had been so protected.

 

In a landmark ruling Gary Cowen QC, of Falcon Chambers Arbitration, agreed
that these offices were not affected by the Covid-19 closure requirement that
forced shut Signet's retail stores. Signet has been ordered to pay total
arrears of £448,043 due under its lease for the quarters commencing on 25
March 2020, 25 December 2020 and 25 March 2021.

 

The full ruling can be found here:
https://www.falcon-chambersarbitration.com/crca/awards
(https://www.falcon-chambersarbitration.com/crca/awards)

 

Commenting on the ruling Martin Pryce, Investment Manager at First Property
Group, said:

"We all want to see the high street thrive and understand the role that rent
arrears relief played in helping to keep shops from closing during the
Coronavirus pandemic. Signet, however, tried to take advantage of the
Commercial Rent (Coronavirus) Act 2022 by claiming relief for its office space
in Borehamwood, in addition to its retail stores. That was not what the Act
was for.

 

"Too many businesses tried to use the cover of Covid to avoid paying rent that
was rightfully due. Landlords should not have to pay for this."

 

ENDS

 

For further information please contact:

 

 First Property Group plc                            Tel: +44 (20) 7340 0270
 Ben Habib (Chief Executive Officer)                 investor.relations@fprop.com (mailto:investor.relations@fprop.com)

 Laura James (Group Finance Director)

 Jeremy Barkes (Director, Business Development)

 Allenby Capital (NOMAD & Broker)                    Tel: + 44 (20) 3328 5656
 Nick Naylor (Corporate Finance)

 Freddie Wooding (Corporate Finance)

 Amrit Nahal (Sales and Corporate Broking)

 SEC Newgate (PR)                                    Tel: + 44 (20) 3757 6880;
 Robin Tozer / Richard Bicknell / Max Richardson     firstproperty@secnewgate.co.uk (mailto:firstproperty@secnewgate.co.uk)

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  UPDUOAKRUNUBARR