Agenda item - Asset Disposals for Re-investment in the Urban Portfolio

Report of the Executive Director for Economy, Environment & Culture

RESOLVED:

(i)            That the committee authorised the disposal of the freehold of 23 Meeting House Lane and that delegated powers be given to the Executive Director of Economy, Environment and Culture, Assistant Director Property & Design and Executive Lead, Strategy, Governance and Law to agree terms.

(ii)          That the committee authorised the retention of the net capital receipt to add to an investment fund which includes the net capital receipts of previously completed property disposals, as approved by this committee.

(iii)         That the committee noted that the investment fund would be used to acquire a commercial investment property or properties, in accordance with the council’s AMP, details of which will be presented to this committee with a recommendation when an acquisition opportunity has been identified.

37.1    The Committee considered the report of the Executive Director for Economy Environment & Culture which sought authority for the disposal of a property from the Council’s urban investment portfolio.

37.2    Councillor Mac Cafferty welcomed the report, and suggested that it would be useful if an annual report could come to this committee to allow councillors could monitor decisions being made. He noted that the property in question was near to the new Hannington’s development, and therefore property prices could rise in the future, and asked how it could be ensured that the maximum value would be achieved. The Assistant Director Property & Design accepted the concerns, but said that it could be five to ten years before the new development was completed and possibly impacted on nearby property values, and the authority needed to take a balanced view on the best way forward. The Chair referred to the suggestion of having an annual report, and said that it was only a year ago that this committee agreed to set up the Asset Management Board (ASB), and their oversight and recommendations are a useful guide on the management and development of our assets.

37.3    The Committee then moved to Part Two, and noted the information contained in Item 44 (Part Two report which accompanied this report).

37.4    RESOLVED:

(i)            That the committee authorised the disposal of the freehold of 23 Meeting House Lane and that delegated powers be given to the Executive Director of Economy, Environment and Culture, Assistant Director Property & Design and Executive Lead, Strategy, Governance and Law to agree terms.

(ii)          That the committee authorised the retention of the net capital receipt to add to an investment fund which includes the net capital receipts of previously completed property disposals, as approved by this committee.

(iii)         That the committee noted that the investment fund would be used to acquire a commercial investment property or properties, in accordance with the council’s AMP, details of which will be presented to this committee with a recommendation when an acquisition opportunity has been identified.