Agenda item - Strategic Property - Corporate Property Investment Programme

Agenda item

Strategic Property - Corporate Property Investment Programme

Attached for consideration as part of the Call-in on this item, is the Part 2 Portfolio report considered as part of the decision made on 25 January 2019.

 

The report should be read in conjunction with the Portfolio report attached at Appendix 1 to the Call-In report on the part 1 agenda.

 

(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).

 

 Please see the Part 1 agenda.

Minutes:

 

The Committee received the information provided on the Strategic Property- Corporate Property Investment Programme which had been included in the part 2 section of the agenda.

 

Councillor Laban was invited to set out the reasons for calling in the decision:

  • The lease on St Andrews Court expires in June 2019 and the intention is to relocate the Integrated Learning Disabilities Services (ILDS) from St Andrews Court to Enfield Highway Carnegie Building (previously known as the Enfield Highway Library). Councillor Laban said she welcomed the use of the building for this purpose as the building has been empty for nearly three years. However, it may prove costly as a short- term lease would be required for St Andrews Court.
  • Negotiations regarding the extension of the lease at St Andrews Court may prove difficult due to tight timescales, which should have been foreseen.
  • Consideration should have been given to moving the ILDS into the Civic Centre building.
  • Additional borrowing required re Corporate Property Investment Programme

 

Councillor Levy referred to an answer provided by officers that the use of the Civic Centre would not be appropriate for use by the ILDS.  He invited responses.

 

The responses to the issues raised by Councillor Laban: 

  • Delays and succession planning was discussed. Since May 2018 there had been a new portfolio area with an emphasis on property, looking at what the Council own and rent and who might need.  There have been key staff appointments to allow a focus on property strategy. Councillor Oykener, referred to the new Strategic Property Framework including a Strategic Asset Management Plan (SAMP) which is currently being prepared.  One of the principles of the strategy is that the Council makes use of its own properties rather than having leases from private landlords. The aim is to invest to save. This will include a lease events diary so the council knows information well in advance.   The proposal for ILDS is as a result of work undertaken on the SAMP.
  • Councillor Caliskan, Leader of the Council, spoke of the new team who were working on the SAMP and referred to the necessity for us to ensure that we make best use of property assets. She said the public want the Carnegie Building to be for public use and health provision and it will be a health facility for the most vulnerable.
  • Mark Bradbury, Director of Property and Economy, provided further information about lease negotiations regarding St Andrews Court and referred to the SAMP, with the aim to use our assets better.  In the future there would be a more strategic approach, and for now this is the clear way forward. We would not be looking to rent out more areas of the Civic Centre without first assessing the needs of our services.

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Other points discussed included:

  • Councillor David-Sanders said issues appear to have arisen as a result of officers leaving and others being unaware of outstanding issues.
  • A well managed portfolio lease events diary is now in place.
  • Assurance that we are working closely with people with learning difficulties to manage the proposed move for the ILDS to the Carnegie Building.

  

The summing up by Councillor Laban - She thanked members and said, we should have been more aware of the issues discussed, at an earlier point and hoped the new Strategy would ensure this did not happen again.

 

Following the discussion and noting the comments made the Committee took a vote and unanimously agreed to confirm the original Cabinet decision.

 

Councillor Hockney advised he had voted in favour due to the vulnerability of those involved.

 

Councillor Levy thanked everyone for attending the meeting.

Supporting documents: