A report from the Director of Finance, Resources and Customer Services will be circulated as soon possible. (Report No.13, agenda part one also refers)
(Report No.14)
(9.00 – 9.05pm)
TO FOLLOW
(This document contains exempt information as defined in Paragraph 3 (information relating to the financial or business affairs of any particular person – including the authority holding that information) of Schedule 12A to the Local Government Act 1972, as amended)
Minutes:
Councillor Alan Sitkin (Cabinet Member for Economic Regeneration and Business Development) introduced the report of the Director of Finance, Resources and Customer Services (No.14), in conjunction with the part one and super part two reports.
NOTED
1. That Report No.13 also referred as detailed in Minute No.13 above.
2. That a super part 2 report was circulated at the meeting (No.14A) under restricted circulation and collected in again following consideration by the Cabinet.
3. Councillor Taylor invited questions from Cabinet Members on the proposals detailed in the reports which were responded to at the meeting by officers present. Questions included the potential decontamination costs; and, in response to issues raised, clarification was provided on aspects of both the financial and property implications as set out in the super part 2 report containing exempt information. Members noted and discussed the clarification provided at the meeting.
4. Asmat Hussain (Assistant Director – Legal and Governance) advised Members of the required governance arrangements to be followed for this decision; the urgency procedures, and the approval required for the addition of the funding to the Council’s capital programme. It would be necessary for the Leader of the Council to use his powers to take an urgent decision on behalf of the Council, as set out in the statement in Minute No.13 above, to ensure that the required timescales for submitting a bid to purchase this site could be met. The decision could not await the next Council meeting which was scheduled to take place on 13 July 2016.
5. In response to questions raised by Members, clarification was provided on the costs involved in submitting a bid; the way forward should the bid not be successful; the anticipated timescales for the outcome of the bid to purchase and the financial projections detailed in the report, including the anticipated rental income. Minimal costs had been incurred at this stage of the process.
6. That paragraph 8.1.2 of the super part 2 report should be amended by the deletion of the final sentence of the paragraph.
7. The potential future uses of the site were considered and discussed. Members noted the assessment of rental and likelihood of letting as set out in section 4.2 of the report. In response to questions raised, further advice was provided at the meeting on the assessments which had been undertaken to date.
8. Councillor Taylor highlighted the processes which would follow Cabinet agreement this evening and his urgent action on behalf of the Council. If the Council’s bid was successful due diligence would be undertaken; Members were being asked to make an in principle decision to make a bid to purchase subject to a number of caveats that were set out in the reports. The deadline for the bid to be made was 16 June 2016, hence the need for urgent action to be taken. Members recognised the potential implications for the Council’s capital programme as addressed within the reports and noted the need to act as such opportunities presented themselves to the Council.
Alternative Options Considered: As detailed in the part one report, Minute No.13 above refers.
DECISION: The Cabinet agreed
1. To approve the acquisition of the property, which would be achieved through the purchase of a company specifically set up to hold the property on Gibbs Road, N18 3PU, or through direct purchase of the property by negotiation and delegated authority to the Director of Finance, Resources and Customer Services in consultation with the Cabinet Member for Finance and Efficiency to agree final Heads of Terms and exchange/complete the transaction if the Council’s offer was accepted by the vendor, subject to appropriate legal, finance and property due diligence being undertaken to the satisfaction of the Director of Finance, Resources and Customer Services in consultation with the Cabinet Member for Finance and Efficiency.
2. Recommendation 2.2 as set out in the super part two report, containing exempt information.
3. Recommendation 2.3 as set out in the super part two report, containing exempt information.
Reason: As detailed in section 6 of the report.
(Key decision – reference number 4343/U197)
Following the conclusion of the Members’ consideration of the above reports the meeting moved back into part one. The following minutes follow the order of the part one agenda.
Supporting documents: