Decision details

To consider the report of the Cabinet Member for Resources, Leisure and Culture seeking approval for the disposal of The Shirley Centre and The David Lloyd Leisure Centre freehold investments at not less than the minimum prices set out in the confidential appendix, and to delegate powers to the Senior Manager, Property, Procurement and Contract Management, in consultation with the Cabinet Member for Resources Leisure and Culture, to approve detailed terms which exceed the stated minimum price. Approval is also sought to authorise the Head of Legal, HR and Democratic Services to advertise the proposed disposal of the David Lloyd Centre (held under the Public Health Acts) in accordance with Section 123 Local Government Act 1972.

(i)  to approve the principle of the disposal of the Council’s freehold investments at The Shirley Centre and The David Lloyd Leisure Centre;

(ii)  to delegate authority to the Senior Manager, Property, Procurement and Contract Management after consultation with the Director for Corporate Services and the Cabinet Member for Resources, Leisure and Culture to approve the sale to the preferred bidders at not less than the minimum prices set out in the confidential appendix, and to subsequently negotiate and carry out all ancillary matters to enable disposal of the sites;

(iii)  that the Head of Legal, HR and Democratic Services be authorised to enter into any legal documentation necessary in respect of the sales;

(iv)  to note that the estimated value of the capital receipt from these disposals had already been built into the funding of the capital programme. Any receipt higher than the estimate will be used to reduce the funding deficit. A receipt lower than this will increase the deficit;

(v)  to authorise the Head of Legal, HR and Democratic Services to advertise the proposed disposal of the David Lloyd Centre (held under the Public Health Acts) in accordance with Section 123 Local Government Act 1972; and

(vi)  should any objections be received, to refer these objections to Cabinet for determination.  If no objections are received, to authorise the freehold disposal of the David Lloyd Centre on the terms set out in this report without further referral to Cabinet.

1. The delegated authority to the Senior Manager, Property, Procurement and Contract Management to approve land and property disposals is limited to £1,000,000 where this is in consultation with the Cabinet Member for Resources, Leisure and Culture.  Both these disposals are each expected to realise in excess of £1,000,000 requiring cabinet approval to terms.  This report is the vehicle to provide the necessary approvals.
2. Cabinet approval is required to authorise the Head of Legal, HR and Democratic Services to advertise the proposed disposal of the David Lloyd Centre (held under the Public Health Acts) in accordance with Section 123 Local Government Act.

Do nothing - the opportunity for significant capital receipts would be lost.