Works done to a warehouse which resulted in a Toyota car showroom amounted to a conversion for business property allowances purposes as there was continuity of identity of the warehouse notwithstanding substantial alterations, and allowances were due.
The appellant company specialised in the sale of motor vehicles. On 9 December 2015, the appellant’s parent company purchased a warehouse, which was disused at that time. The purchase price of the warehouse was £978,000 (including VAT). The vendor was Tesco Stores Limited. Until October 2008, the warehouse had been used as an MFI furniture store. The warehouse was immediately leased to the appellant for 99 years with a view to it engaging a contractor to build the car showroom at the site. The appellant contracted with a firm to carry out works at the warehouse for the sum of £1.4m. The car showroom opened on 24 September 2016. The total sum of money incurred on the project was £,
