Decision - Brighton Waterfront Project (Brighton Centre and Black Rock sites)

RESOLVED – That the Committee:

1)        Agree the draft Heads of Terms as summarised in the Confidential Appendix 3 as the basis of ongoing negotiations with Standard Life Investments (SLI) on the understanding that the Head of Law is authorised to enter into the final conditional Development Agreement (cDA) and any linked documentation after the Acting Executive Director Environment Development & Housing and the Head of Law have consulted with the Waterfront Project Board regarding any further changes to the draft Heads of Terms

2)        Note the terms of the draft Valuation Brief as referred to in the Confidential Appendix 4.

3)        Note and agree:

a)     The revised financial information contained in the Confidential Appendix 5.

b)     The current conference subvention budget is retained by the council to support conferences during the closure period and attract conferences to the new venue once opened.

c)     Construction of the new venue will be funded by the capital receipt generated from the sale of the Brighton Centre site, rent from the appointed venue operator,  net savings achieved on the current Brighton Centre operational budgets and up to 50% of the forecast additional future business rates income stream (set out in the funding table in paragraph 7.4 of the financial implications) along with any relevant successful Local Growth Fund bids.

d)     That any additional council tax revenue and any increase in New Homes Bonus will be  used to support the City Council’s medium term financial strategy 

e)     The Brighton Centre Redevelopment Reserve can continue to be used to fund project development costs incurred by the council on the Central and Black Rock sites as set out in paragraph 7.14.  

4)     Note and agree the overall procurement approach as summarised in paragraphs 7.15 to 7.17 and the role of Standard Life Investments as lead Development Partner for both the central (Brighton Centre and Kingswest) and east (Black Rock) sites.

5)     Agree that a competitive procurement process to appoint a third party operator can proceed in a manner agreed by officers with the Waterfront Project Board.

6)     Agree that the appointment of a third party operator for the new venue, following completion of the procurement process, be agreed by Policy & Resources Committee.