ChD 17 February 1993. The plaintiff (L) was the assignee of a lease of a property which was used as a guest house for the elderly. The defendants (M) were the landlords. The original lessees had ceased to operate the guesthouse before it was assigned to L. The local authority agreed to let L reopen the home subject to certain work being carried out. The lease granted an option for the lessee to acquire the freehold and L exercised this. The sale was to be at open market value however a dispute arose as to the basis of valuation. M contended that it should be valued on the basis that the previous assignees had held with the covenant to repair and redecorate. L contended it should be on the basis of the current state of the property. M also claimed that for the calculation based on the number of beds this should be taken as 25 the maximum allowed under the lease and also costs of works to restore the building to use as a guesthouse shoule not be deducted. It was held that a party to a