The client instructed us to carry out a routine audit on one of the properties on their portfolio. During the audit process we reviewed the lease documents and discovered the client was due a capital contribution and had not received it. The client was unaware of the money owed as a change of staff resulted in a loss of historic knowledge.

Challenge

As the terms of the Capital Contribution being payable was reliant on all of the rent demands being paid, we had to prove to the Managing Agent & Landlord that the rent obligations have been met.

Constraints

Due to the amount of the Contribution the Managing Agent was not forthcoming with information and responding to queries in a timely manner.

Resolution

Due to the amount of the Contribution the Managing Agent was not forthcoming with information and responding to queries in a timely manner.

Result

Firstly, to establish the Contribution had not been paid we checked the client’s data, we then used the client’s data and lease documents to establish the rent obligations were met correctly.

We then provided the Managing Agent with a reconciliation and proof of payment.

Upon proof of payment and reconciliation of the rent payments the Landlord made payment of over £200,000 to our client.