Hammonds partners face rent deficit
Hammonds' partnership could be facing a £135,000 annual shortfall in rent after Hammonds Direct, its former conveyancing arm, went into administration last month. Hammonds Direct sublets its 73,000 sq ft Bradford offices from Hammonds for just under £7 per sq ft. However, it is believed a more realistic rental value for the property in the current climate would be £5 per sq ft - leaving the partnership liable for a £135,000 per annum shortfall, even if new tenants are found. If the firm does not manage to find a tenant, the partnership will be liable to meet all of the remaining rent on the 10-year lease, which currently stands at around £5m.
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