Publication - Advice and guidance
Property controls: guidance for public bodies
The public bodies in scope of Property Controls are those covered by the Scottish Public Finance Manual (SPFM) for leasehold and property acquisitions. The guidance brings together the principles of the Single Scottish Estate and business case best practice into a single document.
5. Which property transactions are covered?
Property Controls assessment is required by bodies in scope and for assets in scope for any proposal committing to expenditure on property, including:
Leasehold
- Acquisitions (i.e. grant of new lease/licences, assignments and subleases)
- Lease renewals and extensions
- Renegotiation of lease break options (incl. non exercise of lease break options)
- Re-gearing or adjustment to existing terms of the lease
- Investment in upgrades and / or refurbishment within 3 years of lease expiry. Investment at a late stage of a lease commitment can negatively affect the commercial negotiating position over future lease renewals. Therefore, the timing of investment, must be carefully considered in the context of future occupation, dilapidation liability and the effect this may have on our commercial position.
MOTO’s with UKG
- New MOTO being set up
- renewals and extensions
- Investment, upgrades or contribution to refurbishment
- A MOTO with UKG represents an expenditure outside of the Scottish Ministers estate. For this reason, they will be scrutinised in more detail that that of a MOTO on our own estate
Property Acquisition
- Acquisition of any freehold / heritable property interest (new and existing buildings) except for compulsory purchase
- Significant investments in retained leasehold properties
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