Agenda item

(Report of the Director of Planning, Regeneration, and Development. To be introduced by the Cabinet Member for Housing and Regeneration). To re- confirm disposal of this property.

Joanna Fone, represented  the Derby Hall  Christian Assembly, who had not been successful in  the bidding process for acquiring  the freehold interest in  the Red House[423 West Green Road].Ms Fone put forward objections to the recommendations on procedural grounds. She contended that Derby Hall Christian Assembly had not been allowed the same opportunity as Magic Homes/Leonard Cheshire Disability to provide two different bids and had been  penalised for working within the set perimeters which included plans for an expanded church. It was claimed that the hall had a covenant on the parking land making the award of special purchaser to Magic Homes/Leonard Cheshire Disability invalid and if this deal proceeded they would complain to the local government ombudsman.

The deputation further contested the designation of Magic Homes/Leonard Cheshire Disability as special purchaser as their landholding was not adjacent to the Red House, 423 West Green Road.

The Cabinet Member for Housing and  Regeneration responded to  the deputation and advised that both Derby Hall  Christian Assembly  and Magic Homes/Leonard Cheshire Disability had  equal treatment in the negotiation process and  both bids been subject to detailed analysis by specialist officers and there had been an objection to the scheme from Derby Hall Christian assembly by  Transport planners  a set out in the report. The Cabinet Member and officers were happy to meet with the Derby Hall Christian Assembly to further discuss the process.

The Cabinet Member continued to introduce the report which reconfirmed the disposal of the Red House, 423 West Green roads and designated a special purchaser for the site.

RESOLVED

1. That the original decision by Cabinet on 12 February 2013 that the Red House, 423 West Green Rd, N15 is surplus to requirements be re-confirmed.

2. That the Assistant Director of Property & Capital Projects be authorised to dispose of the Council’s freehold interest in the Red House, 423 West Green Rd, N15 for best consideration reasonably obtainable to Magic Homes/Leonard Cheshire Disability.

3. That In the event that Magic Homes/Leonard Cheshire Disability is unable to proceed with the acquisition, officers engage with Derby Hall Christian Assembly/Aitch in an attempt to agree a holistic policy compliant scheme.

4. That In the event that Derby Hall Christian Assembly/Aitch are unable to present a holistic policy compliant scheme and proceed to an acquisition, that the Red House, 423 West Green Rd, N15 is offered for sale on the open market for best consideration reasonably obtainable.

Alternative Options

Retention of the property as is:-

Reasons for Decision

This report recommends that Members re-confirm the original decision by    Cabinet on 12 February 2013 that the Red House, 423 West Green Rd, N15 is surplus to requirements.

Members are asked to note that a caution exists on the Red House which will result in redemption sum being paid in the region of £600,000 from the eventual capital receipt.

As the Red House is not suitable for long-term retention following changes in service delivery, this report consequently recommends a disposal to the special purchasers Magic Homes & Leonard Cheshire Disability as their proposed scheme is policy compliant, which will assist in generating a capital receipt to sustain the capital programme.