The property was advertised for offers in excess of £47.4 million in return for a 20 year lease in favour of the Ministry of Defence, at an initial market rent of £3.511 million per annum with annual fixed increases of 2 per cent. per annum compounded every five years. There are no other additional costs anticipated.
Offers in excess of the asking price were received but remain subject to the completion of formal legal missives and are thus regarded as commercially confidential.
The proposed sale and leaseback of Kentigern House is an estate management initiative which does not threaten any jobs or affect the terms and conditions of employment of any Ministry of Defence employee or contractor.
Consequently, there was no need to formally consult with the trade unions, but, subject to commercial sensitivities, staff have been kept fully informed of progress by local management through a series of briefings discussions.