Report of the Director of Planning and Property attached.
Minutes:
The Cabinet member for Corporate Support and Assets (Councillor Colin Clark) and the Chief Executive addressed the Committee and responded to its comments and enquiries relating to the Strategic Asset Review Study by Cushman and Wakefield.
During the discussion, the Committee’s comments/enquiries included the following areas:
· it was confirmed that following its production the Consultant’s report had been used as part of the background information for the Council’s property and asset review.
· the committee was informed that the portfolio holder and the other members of Cabinet were ambitious to maximise use of Council assets and generate income (reference to the Council’s Investment Strategy) and that good progress had been made in the last two years.
· in respect of the lower condition/yield of the Middleforth Estate compared to other Council properties, due to a lack of strategic investment, this was still the case. However, a programme of works was in place to strategically review assets to ascertain whether to investor or to look at disposal.
· the gross yield from an asset was confirmed as the rental income against the value of the asset whilst net yield also took into account the costs of maintenance, insurance and such other costs to keep the asset.
· the findings for Worden Hall/Park differed because the Consultant’s report was very high level, lessons had been learned and what was now being worked up was much more detailed and needed to complement operations at the Civic Centre.
· compared to the findings in the Consultant’s report, opportunities at the Moss Side Depot had subsequently arisen from the Council’s developing shared services agenda.
· in respect of the Council’s Corporate Plan and Medium Term Financial Strategy (MTFS), these drew information/pointers from many sources and the use of assets was key and included the Consultant’s report and the Council developed that.
· it was confirmed that assets were one of the Council’s resources working collectively for what was needed for the residents of the borough and a medium term resource strategy was being developed and would be brought to members.
· regarding the South Ribble Homes Build, this was a new venture looking forward at the use of land assets which the borough had a good supply of as a former new town area (negotiating with the Homes and Communities Agency) and could be used to fill the gap identified in the Housing Strategy.
· the committee was assured that following the recent management re-structure the Council would have the necessary skills, expertise and capacity to strategically manage and grow its property assets.
· the Leyland Town Centre Masterplan was mentioned in the Consultant’s report and was included in this year’s Corporate Plan and whilst not having information to hand on the current position and timescales this would be provided.
· in respect of moving forward with a Strategic Action Plan for the Council’s approach to assets, the Committee was keen to have a future role in its development and monitoring and as no firm approach had yet been decided it was possible this could be subject to pre-scrutiny.
· clarity would be given as to whether the required essential maintenance works in the Consultant’s report at Worden Hall had been carried out.
RESOLVED (Unanimously):
That
1. the Committee appreciated being provided with a copy of the Cushman and Wakefield Consultant’s Report;
2. the Committee was encouraged that the Council had learned lessons on commissioning such reports and being less than effective in responding to it;
3. the Committee requests an update on the Leyland Masterplan;
4. the Committee welcomes the Strategic Asset Plan and suggests it is involved in its development and monitoring; and
5. the Committee welcomes the offer to provide clarity on whether the essential maintenance works had been carried out at Worden Hall.