Issue - meetings

A report from Councillor Eamon O’Brien, Cabinet Member for Finance and Housing will report at the meeting.  Report attached.

Councillor David Jones, Leader of the Council submitted a report setting out details of plans to purchase the freehold of a commercial property in Prestwich.  The property is located on the site where the Council is planning to develop the new Prestwich Village scheme.  The opportunity to acquire a key piece of real estate would greatly assist the speed and practicality of delivering the Prestwich scheme.

It is proposed to utilise the fund established to create an ‘Investment Property   Acquisition Fund’.

Delegated decision:

Cabinet agrees to:

• Subject to final agreements being reached on works being carried out to the building, that the Council formally acquire the freehold of 458 Bury New Road, Prestwich.

• Note the site is key to the strategic, economic and regeneration objectives for the area; 

• Approve borrowing the resources required for this property at an assumed rate of 2.5%.

• Authorise the Chief Executive, Director of Regeneration and Growth, Assistant Director of Legal and Democratic Services to negotiate and finalise the detailed arrangements in respect of the purchase, and to progress the legal work associated with it;

• Authorise the Director of Regeneration and Growth to utilise the ‘Investment Property Acquisition Fund’ for the acquisition of the property

Reason for the decision:

The risks associated with the investment have been fully considered as part of the due diligence process.  This has been carried out by external property advisors. The scope, details and conclusions of this work are set out in Part B of this report.