Agenda item

A report from the Director of Regeneration and Environment will be circulated as soon as possible. (Report No.5, agenda part two also refers). (Key decision – reference number 4317/U196)

(Report No.3)

(8.35 – 8.45 pm)

TO FOLLOW

Councillor Georgiou (Deputy Leader of the Council/Public Service Delivery) left the meeting for the discussion of this item, Minute No.2 above refers.

Councillor Alan Sitkin (Cabinet Member for Economic Regeneration and Business Development) introduced the report of the Director of Regeneration and Environment and Director of Finance, Resources and Customer Services (No.3) seeking authority to acquire land at Meridian Water.

NOTED

1.               That Report No.5 also referred as detailed in Minute No.16 below.

2.               The land which had already been acquired at Meridian Water, as set out in the report. The Council was being proactive in seeking to acquire land as it became available. Councillor Sitkin gave assurances of the processes being followed and that the Council would always purchase the land at the correct market value price.

3.               Councillor Sitkin was concerned to note the recent misleading articles in the local press in relation to the proposed land acquisition and highlighted the restrictions of using compulsory purchase orders (CPOs).

4.               Councillor Oykener outlined the Council’s experience and achievements to date in acquiring land for development and outlined the regulations in relation to the use of CPOs. The Council had followed correct procedures.

5.               Councillor Charalambous noted that whilst there were occupational leases in place and the property would be provided with tenants in situ on completion, all leases were outside of the Landlord and Tenant Act 1954, as detailed in section 7 of the report.

6.               In response to a question raised by Councillor Edward Smith, Members noted that the Council had been in negotiations for some time and that it was not uncommon to have to compete with other potential buyers. The Council had been proactive in bringing this report forward for Members’ consideration and ensuring that the Council was in a position to complete the potential acquisition in a timely manner and without delay, as appropriate.

Alternative Options Considered: NOTED that the following options had been considered:

1.               Declining the possible purchase of the land potentially available to the council had been considered, but rejected due to the uncertain timescales associated with the vendor bringing the land to market and securing development and consequent benefits for the community.

2.               The use of compulsory purchase powers to acquire the land that comprised the opportunity had been considered, but this was not the council’s first preference given the negotiations that had taken place with the landowner and there remained the prospect of a deal. The use of CPO powers must always and would always be a last resort.

DECISION: The Cabinet agreed 

1.              That the draft contractual terms as appended to the part 2 report (Minute No.16 below refers) were acceptable to the Council.

2.              To delegate authority of the final exchange and completion of the Agreement for Sale as described in the part 2 report to the Directors of Regeneration and Environment and, Finance, Resources and Customer Services.

3.              To authorise the Director of Regeneration and Environment to purchase Title Indemnity Insurance as appropriate.

4.              To authorise any other necessary expenditure associated with the purchase of this land as detailed in the part 2 report, noting that it would be contained within the existing approved capital budget.

5.              To authorise that the Council’s managing agent for Meridian Water took on the management of this site following completion.

Reasons: The acquisition of the site would enable the council to exercise control over the land within the Meridian Water Masterplan area, which would help accelerate housing delivery. To provide a greater level of certainty over the timescales associated with the development of Meridian Water and to increase developer and stakeholder confidence in the delivery of the Masterplan. The purchase of the site would underpin the delivery of the Meridian Water Housing Zone and this land could support a mixed use development at a later date. As the land was being acquired as TGOC it meant the Council would be able to earn an income pending the time the land would be developed therefore the Meanwhile Use was activated immediately. The agreement of the maximum budget acceptable for the purchase of Phoenix Wharf and the delegation of authority to the Directors of Regeneration and Environment and, Finance, Resources and Customer Services meant that should the Vendor decide to accept the Council’s offer completion would take place very quickly.

(Key decision – reference number 4317/U196)