04

Covenant release

Plans for a double basement in this Kensington mews house had been approved by the council and the contractors were lined up when our client’s lawyer noticed a restrictive covenant in his title . The covenant allowed refurbishment, but prohibited enlarging the footprint (as the basement would do).

The covenant holder also owned neighbouring properties, and was requesting half the upside in proported value for digging the basement as well as indemnity for any loss of rental in his other properties whilst the works were carried out. We were asked to help negotiate with the covenant holder.

Ultimately, we negotiated down to a third of what had initially been discussed and with no indemnity.