dilapidations receipts24 Oct 2019 22:04
I have a point in WHR at the moment - in their case study about the Shaw Lane, Doncaster facility they state:
'We invested £650,000 of capital expenditure on three units which were all vacated and re-let within the year. The new lettings were 17.1% ahead of the previous rent and ahead of ERV. Contracted income for the estate as a whole is up 11.8%, while the valuation has risen by 27.2%. We recovered just over half of the invested capital from the outgoing tenants as dilapidations receipts.'
Getting the ex-tenants to pay over 50% of the refurbishment costs is black magic art, getting the new leases away at a 17% increase gives me some faith in this even though there are governance questions to me.