Issue - meetings

Report of the Assistant Director of Property and Housing attached.

RESOLVED (Unanimously)

That:

1.    Cabinet grants approval to permit officers to enter into negotiations with Bidder A in order to consider further and take forward their investment proposals for Worden Hall.

2.    further update reports be provided to Cabinet for consideration.

Councillor Colin Clark, Cabinet Member (Corporate Support and Assets) presented a report of the Assistant Director of Property and Housing that updated the Cabinet on progress being made with securing investors and/or occupiers to bring the main Hall in Worden Park back to use.

The Council had recently advertised the Hall as an investment opportunity and had received feedback from a number of interested parties who wished to invest which had resulted in two formal proposals Bidder A and B being submitted by the closing date.

Having reviewed the two submissions, it would appear that Bidder A has a significantly stronger financial position.

Worden Park is a key priority in the Corporate Plan. External investment would seek to enhance the facility whilst reducing the overall new liability and cost to the Council and bring forward potential income generation opportunities.

It was proposed by Councillor Colin Clark, seconded by Councillor Margaret Smith and

Decision made (Unanimously)

That:

1.    Cabinet grants approval to permit officers to enter into negotiations with Bidder A in order to consider further and take forward their investment proposals for Worden Hall.

2.    further update reports be provided to Cabinet for consideration.

Reason(s) for the decision:

1.  The Council has advertised an investment property opportunity at Worden Hall and has sought proposals from potential investors and occupiers who would like to invest in the hall. The advert was placed on the Council’s website and has been advertised through Linked In. A press release was also undertaken to highlight the opportunity to the market and to local media outlets.

2.  Feedback from interested parties has been received and assessed against a number of criteria as outlined within the market investment opportunity documentation.

Alternative Options Considered and Rejected:

1.  The Council could choose not to develop the Main Hall. This is not recommended as the Hall has the potential, with investment to become an attractive asset which is highly valued by the community and could help to improve the long term financial and risk position of the Council.

2.  The market investment opportunity has demonstrated that there is limited, although credible interest from a potential investor in Worden Hall. The Council could choose to undertake a more expensive marketing and promotional exercise, however there is no guarantee that if it did so that a better market position could be obtained.