Funding For Mobile Classrooms

It is possible for a school to take out an operating lease on a new mobile classroom building as a way of funding this capital purchase.

Key points of an Operating Lease

• An operating lease is the only type of lease a local authority school or academy is entitled to sign
• The maximum term for an operating lease is 3 years
• An operating lease builds in a residual value
• At the end of the initial 3 year lease, the school will have paid back approximately 85-90% of the original cost, plus interest.
• The school then has the option to return the equipment/building, with no further payments or extend the agreement for one final year
• If the school extends for a final year the quarterly payments will be charged at ‘fair market value’, typically no more than 60% of the quarterly repayments on the original 3 year lease
• At the end of the fourth year the equipment is then abandoned to the school with no more rentals to pay, no title is passed to the school

So if your school is looking for a new mobile classroom building such as the one below, then this offers a very viable and flexible option to proceed sooner rather than later as opposed to having to wait for other funding alternatives which can typically take years – which sometimes a school cannot wait for because of pupil over-crowding issues.

For further information on the above or to talk to us about our mobile classroom buildings, then please contact the Hideout House Company on 01865 858982, email info@hideouthouse.com or visit

mobile classrooms