Andrew Ricketts (Valuation Officer) v Cyxtera Technology UK Limited
Decision date: 28 October 2021
Neutral citation: [2021] UKUT 265 (LC)
Overall AI summary confidence: high
Short overview
This short overview is intended to summarise the case, issues and outcome so far as they are supported by the judgment.
AI confidence in this short overview: high
This appeal concerned whether "white space" in a Slough data centre formed part of the hereditament for rating purposes and whether building 631 was included on 13 March 2013. The tribunal held that white space which was fitted out and actively operated by the data-centre proprietor (power, cooling, security, maintenance) was capable of beneficial occupation and thus part of the hereditament on the contested 2010 dates, so the VOA's appeal succeeded for those dates. The VOA conceded 631 was not part of the hereditament on 13 March 2013 and the tribunal refused to substitute a later date, so the VOA failed on that limb.
Ratio decidendi
This summary is intended to identify the ratio decidendi, meaning the legal reasons for deciding and the binding part of the decision.
AI confidence in this ratio decidendi summary: medium
A building (or part of it) is a hereditament if it is ready for occupation as a building for its intended purpose, assessed by reference to that purpose and by distinguishing permanent building fabric from movable fittings/fixtures. Where the operator occupies and actively operates fitted "white space" (controlling power, cooling, security and maintenance) that space can be capable of beneficial occupation and therefore part of the hereditament even before customer-specific adaptations are carried out.
Obiter dicta
This summary is intended to identify obiter dicta, meaning observations made by the way that were not necessary to deciding the case and are not binding.
AI confidence in this obiter dicta summary: medium
The tribunal observed that whether white space is ready for individual customers is a red herring if the operator itself beneficially occupies and operates the space, and likened minor customer-installation works (eg moving floor tiles, attaching cages) to adding furniture rather than altering the building. It also noted that excluding white space could produce absurdity given frequent changes between white and customised space.