Compensation

I've been thinking. My conclusions are probably wrong as I haven't heard anyone else voice them, but I hope you'll indulge me.

The one fact I have, which started my addled thinking, is this: the shop owners within the market whose leases have extended beyond the start of the redevelopment have either been bought out or otherwise compensated for their trouble. Similar arrangements must also be in place for leaseholders of other properties on the island site.

This thought led me to two propositions, the first unconnected with the market's future, the second more interesting to market folk.

First, could this explain why Frank the Yank has acquired as much property as possible on the island site? He already had the Admiral Hardy and the INC bar before the redevelopment news first emerged. Since then he has added the Coach and Horses, the W Lounge (ex Powder Monkey) and George II to his portfolio. Say what you like about Frank, he's a very shrewd businessman.

Second, who is probably one of Greenwich Hospital's more significant leaseholders? Step forward GSM/USM, who hold the market's lease. The disruption caused to the market by the redevelopment will be huge. The current lease runs from 1997, when I would guess a clause about redevelopment would be unlikely, to 2012. I find it inconceivable that the leaseholders won't be in line for generous compensation for their trouble. In fact, I imagine they would be due an even greater wedge if the market had to be shut down altogether.

Given their behaviour of late I find it most unlikely that GSM/USM will have their lease renewed in 2012, so perhaps it may be to their advantage were the market to fail to be relocated and have to be closed down. Eric Reynolds is also a very shrewd businessman.