Decision details

Paragraph 3 – Information relating to the financial or business affairs of any particular person (including the authority holding that information).

A member disclosed a non-pecuniary interest in relation to this item and left the meeting room during the debate and decision on this matter.

Cabinet considered an exempt report regarding investment acquisition ‘T’ as urgent business.

In accordance with Urgent Action provisions, the Chairman of Overview and Scrutiny Committee had agreed that the matter was urgent and could not reasonably be deferred.

Reasons for urgency

The site had very recently come to the attention of the Council as a redevelopment opportunity. The timescales for bidding were extremely tight and it was not possible to defer the decision until the expiry of 28 working days for the publication of notices under the Local Authorities (Executive Arrangements) (Meetings and Access to Information) (England) Regulations 2012, as the Council would have missed the deadline for submitting its bid to acquire the site.  The deadline for submitting bids was Wednesday 12 December 2018.

Alternative options considered:

Formally agree not to submit a bid

Resolved to:

·         Approve the acquisition of the site and its future development for  Housing purposes as identified in this report;

·         Agree the offer submitted for the acquisition, and authorise the Chief Executive (and delegated Officers) to undertake any necessary subsequent negotiations (including a further bid if required) and complete the acquisition of the asset (in consultation with the Chief Finance Officer, the Leader and the Cabinet Member for Finance);

·         Authorise the Chief Finance Officer to decide (i) the most financially advantageous funding arrangements for the purchase, (ii) the most tax efficient method of holding the asset to include the transfer of the asset into Knowle Green Estates Limited if an when appropriate to do so, and overall to ensure the acquisition is prudentially affordable; 

·         Authorise the Head of Corporate Governance to enter into any legal documentation necessary to acquire and develop the asset including any documentation required for any potential transfer of the asset to Knowle Green Estates Limited;

·         Agree to exempt Contract Standing Orders in respect of our Advisors;

·         Delegate the selection of the design team and the contractor to the Group Head of Regeneration and Growth in consultation with the Portfolio Holder.

·         Recommend to Council the approval of the budget for the design team and the contractor for the development of the site.

Reason for recommendation:

The site will deliver a steady income stream once developed which will support the Council to deliver its ambitious housing and regeneration programme across the Borough to help meet the needs of its residents. The Council needs to generate additional income to offset the revenue impacts of undertaking these projects across the Borough.