Agenda item - Madeira Drive Regeneration Framework and Madeira Terraces update

Report of the Executive Director, Economy, Environment & Culture

1)           That the committee note the success of the crowd funding campaign in raising funds for the restoration of the first three arches of Madeira Terrace, engaging the wider community in the future of Madeira Terrace, raising the profile of the Terrace nationally and internationally, and in galvanising the support of the business community.

2)           That, subject to the final crowd funding target being achieved, the committee authorise the Executive Director of Environment, Economy & Culture to ensure all relevant legal and statutory permissions are in place in order to allow restoration work for the first three arches to begin in 2018.

3)           That the Committee note that work to complete the tender specification for the restoration will take place in consultation with Historic England, Conservation groups and key stakeholders and will form part of a full tender exercise to take place in Spring 2018.

4)           That the Committee agree that work already underway to submit bids for future funding for the Terrace, including a proposed HLF (Heritage Lottery Fund) bid, be further progressed and regarded as a priority for support within the city.

5)           That the Committee agree that officers will initiate an early soft market testing exercise to continue to assess the capacity of the private sector to deliver a privately financed proposal for Madeira Terrace. If such a scheme were shown to be viable (and deliverable within the parameters of the wider regeneration framework for Madeira Drive) this committee will be asked to agree a formal procurement process. Soft market testing will be carried out during the early feasibility stage of the project.

68.1      The Committee considered a report of the Executive Director, Economy, Environment & Culture that provided a summary of progress on the 4 point plan for securing the regeneration of Madeira Drive including the restoration of Madeira Terrace. The Executive Director, Economy, Environment & Culture verbally confirmed to the meeting that the crowdfunding funding target had been successfully achieved before the deadline of 30 November 2017.

68.2      The Chair commended officers for the work undertaken adding that the crowdfunding campaign and broken new ground in terms of scale and ambition. The Chair recorded his thanks to the individuals, businesses and organisations that had pledged to the campaign that demonstrated the opportunity and potential of the Terraces.

68.3      Councillor Sykes moved a motion to amend recommendation 2.1 as shown in strikethrough below:

2.1    That the Committee agree that officers will initiate an early soft market testing exercise to continue to assess the capacity of the private sector to deliver a 100% privately financed proposal for Madeira Terrace. If such a scheme were shown to be viable (and deliverable within the parameters of the wider regeneration framework for Madeira Drive) this committee will be asked to agree a formal procurement process. Soft market testing will be carried out during the early feasibility stage of the project.

68.4       Councillor Mac Cafferty formally seconded the motion.

68.5      The Chair stated that there had been a drafting error in the report that related to the motion and stated that he would support the motion.

68.6      The Chair then put the motion to the vote which was carried.

68.7      Councillor Wealls passed his congratulations to the administration and officers for making the campaign a success and welcomed that the success of the i360 that meant significant reserves could be used.

68.8      Councillor Sykes expressed his congratulations to all involved in the crowdfunding campaign. Councillor Sykes noted that the council’s contribution to both the crowdfunding and regeneration had benefitted significantly from the i360 reserves and that it should be noted that the current administration had opposed the i360 at the time of approval. Councillor Sykes asked if the investment of £1m would be subject to the business case.

68.9      The Executive Director, Economy, Environment & Culture confirmed that £1m had been earmarked subject to the drafting and submission of the business case and was a signal to the HLF of the council’s commitment to the bid. In the event that the first stage of the HLF application was successful, a report would be returned to the committee.

68.10   Councillor Janio noted that the project definition document listed three potential options and asked what stage the final option would be selected and who the decision would be made by.

68.11   The Executive Director, Economy, Environment & Culture stated that the options were preliminary options drawn up to demonstrate officers thinking to the HLF. Should the stage 1 bid be successful, a full business case would be developed and options, with costings, submitted to the committee for decision.

68.12   In reference to page 359, Councillor Mac Cafferty stated that he did not believe the table took into account the conservation funding requirement and the accurate total was £34m not £20m as stated.

68.13   The Executive Director, Economy, Environment & Culture replied that the figure had been included and the £24m figure was the total cost of construction and total value of what would be generated. Furthermore, the figures were simply an indication to the HLF of how the project would work at this stage and not the figures that would lead to the project delivery.

68.14   Councillor Yates stated that the figures reflected the potential investment and construction value plus the value of the asset after the work was complete which was less than the cost of regeneration.

68.15   RESOLVED-

1)           That the committee note the success of the crowd funding campaign in raising funds for the restoration of the first three arches of Madeira Terrace, engaging the wider community in the future of Madeira Terrace, raising the profile of the Terrace nationally and internationally, and in galvanising the support of the business community.

2)           That, subject to the final crowd funding target being achieved, the committee authorise the Executive Director of Environment, Economy & Culture to ensure all relevant legal and statutory permissions are in place in order to allow restoration work for the first three arches to begin in 2018.

3)           That the Committee note that work to complete the tender specification for the restoration will take place in consultation with Historic England, Conservation groups and key stakeholders and will form part of a full tender exercise to take place in Spring 2018.

4)           That the Committee agree that work already underway to submit bids for future funding for the Terrace, including a proposed HLF (Heritage Lottery Fund) bid, be further progressed and regarded as a priority for support within the city.

5)           That the Committee agree that officers will initiate an early soft market testing exercise to continue to assess the capacity of the private sector to deliver a privately financed proposal for Madeira Terrace. If such a scheme were shown to be viable (and deliverable within the parameters of the wider regeneration framework for Madeira Drive) this committee will be asked to agree a formal procurement process. Soft market testing will be carried out during the early feasibility stage of the project.