Prestwich regeneration - Acquisition of Assets, detailed Heads of Terms Longfield Shopping Centre - Part B
A report from the Leader and Cabinet Member for Finance and Growth is attached.
Minutes:
Councillor Eamonn O’Brien, the Leader of the Council and Cabinet Member for Finance and Growth, presented the confidential report which provided an update to the March 2021 Cabinet Paper regarding the acquisition of the Longfield Shopping Centre. This report provided the detailed terms of the transaction and a best value report for approval.
Decision:
That Cabinet:
1. On the terms set out in the report in Part B report, approves the acquisition of the Longfield Shopping Centre and delegate to the Chief Executive, Leader and Lead Member for Growth in consultation with the Council’s s.151 and Monitoring Officer the finalised documentation in respect of the acquisition.
2. Notes that a Vacant Possession Strategy will be developed and a full engagement exercise will take place with the current tenants of the Shopping Centre.
3. Confirms the decision made by Cabinet in March the Council’s intention to negotiate a Joint Venture vehicle/development partnership with Muse to deliver the Prestwich Village Regeneration project, the details of the Joint Venture/development partnership will return to a future meeting of Cabinet for approval.
4. Confirm the decision made by Cabinet in March that the Council will appoint an experienced property centre manager to manage the Centre on an interim basis pending the development of the site.
Reasons for the decision:
The acquisition of the Longfield Shopping Centre is the first step in a key strategic acquisition in achieving the ambitions of the Council in regard to the regeneration of Prestwich Town Centre. To deliver such regeneration and truly achieve the vision for Prestwich, The Longfield Centre must form an integral component of any redevelopment plans.
The acquisition will pave the way for a new Prestwich centre which should lead to delivery of new homes, a Library and Community Hub, small business workspace, outdoor space/public realm and Market Hall as part of our ambitious vision for a thriving local economy. The purchase of Longfield Shopping Centre will be a catalyst post COVID-19 for delivering Bury Council’s regeneration ambitions which supports economic recovery.
Other options considered and rejected:
Other options have been considered and have been subject to external validation by the Council’s advisers CBRE. The options have been considered in relation to risk, likelihood of development in the short to medium term and best value for the Council. These are:
· do nothing;
· buy the lease;
· developer to buy the lease as part of a Joint Venture approach
· Compulsory Purchase Order